Why is contract review important for your insurance?

Proposals for public and products liability insurance often ask whether the potential insured has assumed any obligations under contracts or agreements, including through hold harmless or indemnification agreements.

Unfortunately, all too many times people have indemnities or hold harmless agreements in their existing contracts and may be completely unaware. This, in turn, can expose you and your business to unintended risks or gaps in your insurance solution.

The existence of a contract including an indemnity is likely to be a material fact relevant to an insurer’s decision whether or not to underwrite a particular risk and therefore should be disclosed. The same might be said about contracts that include other terms that increase your liability beyond that imposed by ordinary terms.

A failure to disclose contracts containing such terms may, therefore, entitle an insurer to decline a claim or avoid the policy altogether. But it’s not all doom and gloom – this risk is often avoidable with a proactive review. 

At Acacia Insurance, we’re able to review contracts and advise our clients on the insurance ramifications. This is a point of difference that we pride ourselves on, and the service has helped many of our clients reduce their risk exposures. Contact us to find out more or read on to learn more about this risk.

So, are you sure you haven’t entered into indemnity or hold harmless agreements?

Why contract review is crucial for your insurance

contract review

Learn more about hold harmless and indemnity clauses and their potential insurance consequences in one of our recent blog posts on the topic.


Have questions about our insurance contract review service? We’re here to help.

Whether you haven’t done a deep dive with your insurance adviser recently, or you’re making significant changes to your business such as an acquisition, it could be timely to get your contracts reviewed with an insurance lens. Talk to an Acacia Insurance adviser about your situation.

Contact us to discuss your situation or for a free, no obligation quotation.

Please note that this should be regarded as general advice only, and we would strongly encourage you to call us to discuss your specific situation before making any decisions about your insurance solution or risk management programme.

Contact us using this form below to get an obligation-free analysis and quote.

Talk to us about getting your contracts reviewed by an insurance professional