PAYPROP
Question : Do I need a fidelity fund certificate first ? Answer : Yes , property practitioners must have a valid FFC to qualify for professional indemnity cover .
Question : Can I be held liable for work I ’ ve subcontracted to someone else ? Answer : Yes , you can be held liable for a subcontractor ’ s work . As your client has no contract with them , your client would hold YOU liable for any damage the subcontractor causes .
Your PI policy can indemnify you against this liability if it is a legal liability policy , and if you include a subcontractor ’ s extension to include cover for your liability flowing from such relationships .
Note that your subcontractors themselves are not covered under your policy and will need their own policy should you counter-claim against them for damages they caused to your client .
Question : I am entering into a joint venture , am I covered under my PI ? Answer : Yes , if you include a joint ventures extension . However , you will only be covered for YOUR participation in the joint venture – the joint venture as a whole will not be covered by your policy .
Question : Are there additional services available ? Answer : Each policy holder has access to the following legal assistance for the policy period :
• An unlimited 24 / 7 facility for telephonic advice and assistance The following will also be made available if deemed necessary :
• A face-to-face consultation with a qualified attorney ;
• Up to three letters , matter- and complexity-dependent ; and
• A follow-up consultation
SA Real Estate Investor Magazine JUNE / JULY 2023 78