Professional Liability Insurance:
Business owners and individuals need to have professional liability insurance for certain careers. For example, doctors need to have professional liability insurance. Companies and business owners use this insurance to protect from financial loss. This type of insurance will be a specialty insurance. It is also known as error and omission. Professional insurance protects you from paying the full cost of defending your business. This is important to have in addition to general liability insurance. General insurance will protect against physical damage. Professional insurance protects against more abstract risks. As a result, some careers would benefit from having this coverage. This insurance covers service providing individuals. In addition, this insurance covers professional individuals and businesses. Your policy will pay up to the full cost of the defense and court fees. Examples of careers that would use this coverage are:
The policy should cover your court cost and defense. In Florida, neglect and a failure to provide service is under the policy. For a further look into this type of insurance, click here. Claims are submitted everyday against business owners. As a result, you will want to make sure you have a policy to protect you from paying the cost of claims and fees. You will want to tailor your policy to fit your needs. So, when creating your policy you should keep in mind that you want a policy that pays for the defense against claims. It should also pay for court fees. Creating a policy can be confusing at times. It is always best to speak to a qualified insurance agent to set up the perfect policy for you. Types of coverage include:
- Good faith
- Fair dealing
Unfortunately, your insurance will not cover against criminal prosecution. This should not deter you from creating a policy. Claims are expensive and cause financial damage. Therefore, you should always protect yourself and your business. This insurance is generally on a claims-made basis. This is important to know because insurance will only cover claims made in the policy period. In addition, it will not cover claims that are made before the policy period. Unless your policy has a retroactive clause. Coverage will continue for as long as the policy is active.
Professional insurance is well worth the cost. An average Floridan pays $59.00 dollars a month or $713.00 dollars per year for professional insurance. Of course this cost is dependent on your business. Higher risk professions will have a higher monthly cost. Lower risk professions will have a lower monthly cost. For example, a building designer will pay more than an accountant. There are tips to lower your cost per year. First, paying for the year will result in a lower yearly cost. Second, keeping a continuous policy can help lower the cost as well.
In conclusion, having professional insurance is a must. The insurance helps business owners and individuals. However, this insurance can be complicated. Therefore, you should speak to a qualified agent to create your policy. To get a free quote and to learn more about your insurance needs click here.