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Mandatory professional indemnity insurance of auditors

Mandatory professional indemnity insurance of auditors

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The Law of the Republic of Azerbaijan “On mandatory professional indemnity insurance of auditors” regulates the relations in the field of mandatory professional indemnity insurance of individuals and legal entities involved into auditing activities in the territory of the Republic of Azerbaijan and establishes organizational, legal and economic principles of such activity.

Professional indemnity insurance of auditors covers the following insured accidents:

  • Violation of the requirements of regulatory legal acs, standards and regulations which govern the provision of auditing services
  • Failure to identify fabricated information and errors in accounting (financial) and taxation documents
  • Provision of inaccurate or incomplete advices in respect of elimination of any errors and fabrications which have been identified
  • Poor quality of service and/or failure to meet the deadline
  • Violation of confidentiality provisions