Will my insurance cover me if I work with US clients?

A common question we’re asked from UK freelancers is whether their professional indemnity insurance will cover them when working with US clients. If you’re engaging with clients in the US you’ll want to pay attention to your policy jurisdiction. Let’s look at what options are available to freelancers working with worldwide clients.

Professional indemnity insurance excludes US and Canada jurisdiction by default. This means that if a claim is brought against you and it’s handled under US or Canadian law, it wouldn’t be covered.

Tip: you can check your policy’s jurisdiction in your insured quote PDF or insured schedule PDF.

This is because it costs a lot of money to defend claims in the US. The US is also considered highly litigious therefore the frequency of claims is higher.

If you work with clients in the US and Canada, don’t panic! There are a couple of options available to you.

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Extend the policy jurisdiction

If you’re a With Jack customer, the first option available to you is that we can extend the policy jurisdiction to include US and Canada. Please be aware that this will increase the premium.

Pricing for US cover is not something we can do on our end. It requires a referral to the insurer which can cause a delay, so please don’t leave this until the day your US contract begins!

The insurer will want to understand what % of your turnover arises from the US. They may also wish to know what type of work you’ll be undertaking.

Both of these factors will influence price, but you can expect the premium to increase by several hundred pounds.

Contracts governed by UK law

The second option is to have your clients enter into contracts that explicitly state that any claims or disputes will be handled under UK law.

With Jack is a broker—not a lawyer, so we won’t comment on your contract. If you go down this route ideally you’d have a contract lawyer either create a bespoke contract for you, or review your existing one to make sure the terms are watertight.

Need help with this? We can introduce you to a contract lawyer.

It may come as no surprise that as brokers we take a more risk averse approach to work, so the safest option is to extend the jurisdiction of the policy. This is especially important if you’re regularly working with US clients and entering into their contracts, which may be governed by their state law.

Whilst it can increase the cost of the premium, it’s still significantly cheaper and less stressful than having to source a US lawyer and pay for defence fees.

We asked ourselves one important question…

What do we want out of an insurance provider?

With Jack is the answer