As 2013 has come around, most will be making their New Year's resolutions and promising themselves that they will make amends on all of the previous year's debaucheries.
Gym memberships soar, distant relatives are contacted, and often not a drop of alcohol is touched (for the first few weeks anyway).
Well maybe we are not all making these types of resolutions, but it is true that with every New Year, most try and keep on top of both their personal and professional lives with a fresh start.
When it comes to contractors, the New Year often brings with it payments and renewals, and concerning contractor insurance, this is no different.
When most may roll their eyes in despair at the thought of renewing their insurances, some are eager to protect themselves against many of the professional pitfalls that affect modern day professionals.
As insurance products go, there are many that cover practically anything, but concerning limited company workers, contractor insurance hones in on specific eventualities that contractors face.
When discussing useful contractor insurances, we need not look further than PI insurance as a policy.
PI Insurance is a classic example of a highly beneficial form of contractor protection, the policy being the most popular and most sought after product on the small business market.
Its effects are not only advantageous regarding professional indemnity, but it also raises the business position of the policy holder, which is especially important with regards to IR35.
The insurance is very popular with contractors as it can span a number of different sectors, from high risk positions such as engineers to lower risk operatives such as IT contractors.
It protects the policy holder against any liability claims that have been brought about by professional negligence, and covers all costs of a potential incident.
As well as this, PI insurance acts as a means in which a contractor can bolster their position in the eyes of the tax office regarding IR35, which is a very important and serious issue that faces limited company professionals.
Contractor insurance is specifically vital to those in the field, and PI insurance especially is an example of highly important cover.
In many cases, the policy is required to be in place before a contractor can start work, PI being a contractual obligation for many contracts, meaning that work can often not begin until the insurance has been purchased.
This point further reinforces the importance of such a widely bought insurance policy, and is an example of just how imperative such a valuable cover PI can be.
PI insurance will hardly be at the top of everyone's wish list this January, but for those who work as contractors here in the UK, having the policy can save them from some very hefty pay-outs should any negligence claim arise.
Any contractor who is concerned about the professional safety of their limited company, or simply does not have PI Insurance and is taking on a contract is advised to get in touch with an insurance provider or advisory as soon as possible.