Professional Liability Insurance

What is professional liability insurance?

 Professional liability insurance helps cover you and your company if you are found negligent in the professional services you provided. For example, if you make a clerical error that costs a client thousands of dollars or if you work as a photographer and accidentally damage a client’s wedding photos. These situations could have costly legal repercussions. Professional liability insurance will help cover the costs and fees associated with the incident.

 Who Needs Professional Liability Insurance?

Many types of businesses need professional liability insurance, which is also known as errors & omissions, or E&O insurance. If you work directly with customers by providing services, you should definitely consider a professional liability insurance policy. Here are some examples of how certain businesses can benefit from professional liability insurance.

Lawyers Professional Liability Coverage

Lawyers Professional Liability Coverage — provides attorneys with liability coverage for financial loss suffered by third parties arising from acts, errors, and omissions in providing professional legal services. Fraud, intentional and criminal acts, bodily injury (BI), and property damage (PD) are excluded from coverage. However, most of the policies provide coverage for personal injury (PI) perils (i.e., defamation, invasion of privacy) since allegations of such acts occur frequently in the legal arena. As is the case with most professional liability forms, lawyers professional liability policies are written with a claims-made coverage trigger. Lawyers professional liability coverage is also available in many states through bar-sponsored captive insurers in addition to commercial insurers.