What professional indemnity insurance costs is set by five things, and a business that checks them before asking gets a usable quote the same day. The profession matters most, the limit least, and the two in between are within your control.
Profession and turnover
The profession sets the band and turnover sets the position within it. Both are facts rather than decisions, and both should be stated precisely: a consultancy that also designs is not a consultancy for rating purposes, and a business that rounds its income up is buying cover it does not need.
Limit and excess
The limit is what clients require and is usually cheaper to raise than buyers expect. The excess is a genuine lever: accepting a larger one lowers the premium and is sensible where you would never claim for a small amount anyway.
Claims history and contracts
A previous claim is underwritten, including one that settled for nothing, and what insurers want to know is what changed afterwards. Contract terms matter too: liability caps, a defined scope and consequential loss exclusions all reduce the exposure an insurer is taking on.
Questions people ask about how much does professional indemnity insurance cost
Why is my quote higher than a colleague's?
Usually the declared activity or the contract terms rather than size. Two similar businesses can sit in different rating bands.
Does a claim raise the price permanently?
It is underwritten for several years, and what matters most is what changed afterwards. A firm that was claimed against and then tightened its process presents differently.
Is a higher excess worth taking?
Where you would not claim for a small amount anyway, yes. It is one of the few honest levers on this premium.