In today’s society you can be sued for just about anything. Lawsuits may be real or may be alleged. Regardless, you may be headed to court. Professional Liability Insurance sometimes referred to as Errors and Omissions Insurance covers the cost of attorneys fees, defense fees if applicable, court costs and judgments or settlements.
Professional Liability Insurance protects our clients from claims filed against them for performance issues and or non-performance issues. Sometimes lack of action or inability to deliver a product or service on time can result in the client losing business, suffering damage to his or her reputation and more. If so, they may seek damages from you.
To be clear, this type of insurance only lends itself to unintentional or accidental wrongdoing. Acts done purposely to pose problems or inflict damage to a business or person are not covered.
Professional Liability Insurance covers claims that are filed during the insurance policy period only. However, contracts can be written to include retroactive dates or prior acts coverage meaning that claims filed within a specified date range prior to the signing of the policy will also be covered. However, for the policy to pay, the insurance company must be notified of any claims while the policy remains in effect. The policy can also be written to cover claims that are filed after the policy expires as long as the incident happened while the policy remains in good standing.
Depending on the type of litigation, trials can last years and can cost companies thousands or millions of dollars as well as time taken off work in order to testify in court, do research for hearings and more. Some policies cover lost income because of time spent in court, others do not. At Richard Turner San Diego Insurance Agency we can write a policy that covers your specific needs. We can write policies that include proceedings brought about by governmental organizations or regulatory boards. This might include censorship hearings or false advertising trials.
With Professional Liability Insurance there is generally a deductible. Let us help you write the business insurance policy that will keep you and your assets safe from litigation expenses.