Why Professional Liability?
We live in a world where lawsuits are common. Private firms are no longer immune from litigation from employees, competitors and even the government. Management or professional liability insurance is not just good business; it is as necessary as heat and lighting for your office. Statutes, federal and state laws change on a regular basis, so it is vital that your company protect its assets with management or professional liability insurance.
What is Included in Professional Liability?
Usually, management liability can include Directors & Officers Insurance, Employment Practices Liability, Errors & Omissions Liability and event Cyber Liability Insurance.
Professional Liability Issues
- General Liability Insurance does not cover the risks of Employment Liability, Professional Liability, and Directors and Officers Liability. You need a separate insurance policy to cover these risks.
- Defense costs are going up at a rapid rate. Insurance can provide needed defense coverage, even if you are not liable.
- Company owners can be held personally liable for their actions as well as the actions of other managers or executives.
General Coverage Terms – Each Carrier Will Offer different Terms
- Coverage for claims brought by partners not involved in the firm's management
- Mismanagement or negligence in the day-to-day business decisions
- Punitive damages coverage (where insurable by law)
- Coverage for subsidiaries
- Can include all employees
The best thing you can do is call our office and allow us to provide you with a risk review including coverage options. Once you have had a chance to review coverage and pricing, then you are better equipped to make an informed decision.