Professional Liability Insurance
Most business owners understand that a general liability policy offers basic financial protection subject to specific limits to financially protect their organizations against claims made for bodily injury and/or property damage. Yet even with this type of premises-operations coverage, your business may still be vulnerable to costly lawsuits when claims involving errors in judgement, advice given, or advice not included (omissions) cause unintended results or harm. Peppler Insurance provides professional liability insurance to fit the particular exposures your profession and industry face.
Under this policy, specific customers are protected from liability arising from a negligent act, error or omission in the performance of their professional service. An important benefit of this product is coverage for legal defense costs. Even when found innocent, the legal costs can be substantial.
Besides negligence, standard insurance often do not cover:
- Errors or Omissions made in your profession
- Unintentional Misrepresentation
- Unintentional violations of good faith or fair dealing
- Inaccurate advice
In these cases, you or an employee can be sued with no responding coverage, leading you to pay out of pocket, which can lead to financial stress or perhaps bankruptcy.
Why Do I Need Professional Liability Insurance?
If a client holds you responsible for services that were provided but did not have the intended results, or if you are accused of failing to provide services, professional liability insurance (also known as Errors and Omissions),will protect your business assets and financially protect you from bearing the cost of negligence claims in the event that you lose your case. Defense costs alone can easily amount to hundreds of thousands.
Which Service Industries Require Coverage?
Any organization that offers services should consider acquiring some form of professional liability insurance in addition to the basic premises/operations liability. Architects & Engineers, Financial services, and Hair Solons for example, have a potential loss exposure and would benefit from this additional protection. Professionals such as Doctors, Lawyers, and Insurance Agents along with Therapist and Counselors should not operate without professional liability protection. Financial advisers, Intellectual Property firms, Real Estate professionals and many other service providers also require added liability coverage in the event of a lawsuit. More and more service related businesses are being held to professional standards when an unintended result creates financial loss or emotional-mental dis-ease, stress, mental anguish, etc. These exposures, based on the client’s expectations of the service your business provides, form the protection provided by Professional liability contracts, which will include your defense cost, and are often available with a “Consent to Settle” clause to protect your business reputation. Consult with a knowledgeable Peppler Insurance agent to learn more about examining the exposures your business faces, and the various professional insurance contracts, endorsed or manuscript, to protect your livelihood.
Peppler Insurance Group representatives are experienced at designing the coverage limits and deductibles that meet the needs of your business or profession. For more information about professional liability insurance and how it can protect your livelihood, contact us for a no-cost consultation.