What risk management practices should pharmacies implement?
Pharmacies should implement a comprehensive range of risk management practices to protect their business, staff, and customers.
This begins with robust standard operating procedures (SOPs) for dispensing medication, including double-checking prescriptions, maintaining accurate records, and ensuring all staff are trained in proper dosage and labelling protocols as per guidance of the PSI. Staff training is critical—not just on pharmaceutical handling, but also on customer service, data protection, and identifying potential red flags for drug misuse or fraud. Pharmacies must also implement strict inventory controls, especially for controlled substances, with regular audits and secure storage.
Cybersecurity measures—such as encrypted systems, secure logins, and regular software updates—are essential to protect sensitive patient data. Additionally, health and safety protocols should be in place to prevent slips, trips, and exposure to biohazards, with appropriate signage, PPE, and first aid readiness. Lastly, keeping insurance policies up to date and aligned with your evolving risk profile ensures that you’re prepared if an incident occurs. Together, these practices not only reduce the likelihood of claims but also build trust with regulators and patients.
What Limits of Indemnity should I have?
The appropriate limit of indemnity for a pharmacy depends on several factors, including your turnover, the volume of prescriptions dispensed, and your level of exposure to high-risk medications or compounding services.
As a Pharmacy we would recommend the following limits, however higher limits may be available.
- Errors & Omissions / Professional Indemnity - For most pharmacies in Ireland, a minimum of €1 million is standard, but those offering specialist services or with high footfall may require €2 million or more.
- Public Liability - €6.5m Is standard
- Employers Liability - €13m is standard
- Cyber Coverage - We would recommend €1m however different limits are available
What Cover do you provide for Locums?
We provide E&O & Products Liability Cover of €5m to Locum Pharmacists.
Self-employed locum pharmacists need insurance cover because they operate independently and are personally responsible for any professional errors or incidents that occur during their work. Unlike salaried employees who are typically covered under their employer’s policy, locums must arrange their own insurance to ensure protection in the event of a claim. Professional Indemnity Insurance is essential—it covers legal defence costs and any compensation owed if a dispensing error or incorrect advice leads to patient harm. Even if the mistake seems minor, claims can be costly and stressful to resolve.
Additionally, many healthcare settings, including community pharmacies and hospitals, require locums to have their own cover as a condition of engagement. Without valid insurance, you may be unable to work or may find yourself personally liable in a dispute.
Coverage can also extend to pharmacists participating in the MIDAS trial.
Are dispensing errors always covered under my pharmacy policy?
Dispensing errors are typically covered under your E&O / Professional Indemnity Insurance, provided they are accidental and within the scope of your professional duties. However, there are limitations. Most policies exclude cover for deliberate wrongdoing, gross negligence, or systemic issues that result from a failure to maintain proper standards of practice. It’s crucial to disclose your full range of services—especially if you compound medications or offer clinical advice—to ensure there are no gaps. You should also ensure your policy covers both your business entity and individual pharmacists working under your supervision.
Why do I need Cyber Insurance if I already have a secure IT system?
Even the most secure systems can be compromised—often through human error, phishing emails, or vulnerabilities in third-party software. Pharmacies store sensitive patient health records, prescriptions, and payment details, making them a prime target for cybercriminals. Cyber Insurance doesn’t just cover the technical recovery—it can pay for data breach notification, forensic investigations, legal defence, regulatory fines (where insurable), and crisis communications.
It’s not a replacement for good cybersecurity, but a safety net that ensures you can respond quickly and legally if something goes wrong.
How expensive is your policy?
- E&O Coverage starts at around €1,500 depending on the limit you choose, the size and scale of your business
- Shop Package, depends on many rating factors but minimum Premiums are circa €1,000, this package would include your Public Liability, Employers Liability and Stock of Drugs, Money Cover, Business Interruption and Material Damage to your building.
- Cyber Cover: Our Pharmacy Cyber Policy starts at €1,200 and again depends on no of records held, and the sophistication of your existing cyber security configurations.
Talking it over with your broker is key to reducing costs and ensuring that your cover is correct and adequate for your needs. Brady Insurance are highly experienced in negotiating the best deals with a panel of excellent insurers, who we are confident will not let you down in the event of a claim!
Call our Pharmacy Team today for the best deals on your renewal! We guarantee a next day contact and a quote wiithin 48 hours!