Top 5 Questions for Professional Liability Insurance
1. What is professional liability insurance?
Professional Liability Insurance is also called professional indemnity insurance and also known as errors and omissions insurance. This is a form of liability insurance which helps protect professionals when they are advising or service-providing individuals or companies from bearing the full cost of defending against a negligence claim made by a client.
2. What is covered by professional liability insurance?
If you are sued for providing bad advice or service or design to a client, professional liability provides coverage for legal costs and expenses in defending the claim. It also provides compensation payable to your client to rectify the mistake if found guilty.
3. Does every business need professional liability insurance?
Any business that offers services, advice, or products that depend on professional training need professional liability insurance.
4. Does professional liability insurance cover frivolous lawsuits? Yes. If you are found not at fault, a professional liability insurance should cover your legal expenses regardless if found guilty or if the case holds or not.
5. Can I add professional liability insurance to my policy?
With some carriers, you can add to your commercial package policy. It just depends on the type of business. There are also stand alone options that carriers will give for professional liability insurance.
Professional Liability Insurance is also called professional indemnity insurance and also known as errors and omissions insurance. This is a form of liability insurance which helps protect professionals when they are advising or service-providing individuals or companies from bearing the full cost of defending against a negligence claim made by a client.
2. What is covered by professional liability insurance?
If you are sued for providing bad advice or service or design to a client, professional liability provides coverage for legal costs and expenses in defending the claim. It also provides compensation payable to your client to rectify the mistake if found guilty.
3. Does every business need professional liability insurance?
Any business that offers services, advice, or products that depend on professional training need professional liability insurance.
4. Does professional liability insurance cover frivolous lawsuits? Yes. If you are found not at fault, a professional liability insurance should cover your legal expenses regardless if found guilty or if the case holds or not.
5. Can I add professional liability insurance to my policy?
With some carriers, you can add to your commercial package policy. It just depends on the type of business. There are also stand alone options that carriers will give for professional liability insurance.