What are hold harmless or indemnity agreements and how can they affect my liability insurance policy?
Hold harmless or indemnity agreements (otherwise known as contractual liability) are agreements whereby you have assumed the liability of another person or business under contract. These agreements are commonly found in venue hire contracts, contracts with councils and government departments. The affect of signing one of these agreements is that you would become responsible for claims which you would not normally be liable for under common law. You must be careful with signing these agreements as most public liability insurance policies automatically exclude contractual liability. If you sign one of the agreements without obtaining your Insurer’s approval, your liability insurance may not cover you for claims arising from these contracts. You should refer all hold harmless or indemnity agreements to your broker or Insurer before signing them. What is an unauthorised foreign Insurer? An unauthorised foreign Insurer (UFI) is an Insurer who is not licensed under the Financial Services Ref
