Indemnity insurance for electrical work means one of two things depending on who is asking. During a house sale it means a legal indemnity policy over work done without the certificate that should accompany it. In a trade context it means the electrician's own professional indemnity for design, specification and certification.
The conveyancing policy
Bought once, usually by the seller, where electrical work was carried out without the notification or certification that building control would have required. It covers the risk of enforcement action and of loss arising from the defect, it is inexpensive because the risk is remote, and it passes with the property.
What it does not do
It does not make the work safe, it does not certify it, and it does not prevent a future owner from wanting it inspected. It is a financial backstop against a paperwork gap, which is precisely why lenders accept it and why a buyer who wants the installation checked should still have it checked.
The electrician's own cover
Professional indemnity for design, specification, certification and advice, and public liability for the work on site. Where an electrician issues a condition report or certificate that somebody relies on, the loss from getting it wrong is financial and professional indemnity is the cover that answers.
Which you are being asked about
A conveyancer or a buyer's solicitor means the property policy. A client, a main contractor or a competent person scheme means the electrician's cover. The two are bought from different places and neither substitutes for the other.
Questions people ask about indemnity insurance for electrical work
What is an electrical indemnity policy in a house sale?
A one off legal indemnity covering work done without the required certification, against enforcement action and loss from the defect.
Does it make the work safe?
No. It is a financial backstop for a paperwork gap. A buyer who wants the installation checked should still have it inspected.
Does an electrician need professional indemnity?
Where they design, specify, certify or advise, yes. Installing to somebody else's design usually needs only public liability.