The Auctioneers and Valuers Association of Australia (AVAA) has commenced a routine audit to verify that members required to hold professional indemnity insurance have appropriate and current coverage in place. The audit applies to AVAA Corporate Members and individuals holding the AVAA Certified Valuer (CVAu) or AVAA Certified Auctioneer (CAAu) credentials.
Members included in the audit will receive an email with a link to a simple online form to provide details of their insurance arrangements. Responses are requested by 31 August 2026. Employees whose insurance requirements can be linked to an AVAA Corporate Member will be covered through their employer’s response and will not be asked to confirm their details.
The audit forms part of AVAA’s commitment to professional accountability and the confidence that clients, government agencies, courts, insurers, financiers and other stakeholders can place in AVAA members.
Professional indemnity insurance is an important safeguard where professional services may give rise to civil liability. It can provide financial protection in circumstances involving negligent acts, errors, omissions, misleading representations or other claims connected with professional advice or services. This is particularly important in valuation and auction practice, where clients and other parties may rely on professional judgement when making significant financial, legal or commercial decisions.
Members’ obligations are set out in AVAA Professional Standard 3 – Professional Indemnity Insurance which requires professionals with the CVAu and CAAu credentials, together with AVAA Corporate Members, to maintain professional indemnity insurance appropriate to the nature, scale and risk profile of their services. Coverage must remain in place continuously while professional services are being provided.
In considering whether their coverage is adequate, members must have regard to the types of services they provide, the value and complexity of the assets or transactions involved, their volume of work, client profile and the potential financial consequences of an error. Cyber security and privacy risks, staffing arrangements and contractual obligations imposed by clients, courts, government agencies, insurers or financiers must also be considered.
The Standard expects members to understand their policy’s scope, exclusions, limitations, deductibles and notification requirements. Members must promptly notify their insurer of claims or circumstances that may give rise to a claim and advise AVAA if their coverage ceases, is materially reduced, suspended, cancelled or not renewed. Members leaving practice should also consider run-off cover because claims can arise after professional services have concluded.
Insurance complements professional skill, care, diligence, ethical conduct and sound recordkeeping. It provides an additional layer of accountability that supports confidence in the work of AVAA members and strengthens trust across Australia’s valuation and auction sectors.
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Interested In Finding Out More?
If you’d like more information on the AVAA Professional Standards, send an email to standards@avaa.com.au or telephone 1300 928 165. You can also stay up to date by following AVAA on LinkedIn, X/Twitter and Facebook.
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