“Me shooting 40 percent at the foul line is just God’s way to say nobody’s perfect.”
Shaquille O’Neal’s humble remark confirms what we already know. Mistakes happen. You’re only human.
Businesses need general liability insurance to protect against claims related to bodily injury, property damage or personal injury. But general liability only affords partial protection. If you charge a fee for service or advice—and that covers a lot of professions: pharmacists, funeral directors, ad agencies, veterinarians, counselors, nutritionists and more—you need professional liability insurance. This protects you should you be accused of damage due to negligence, misrepresentation or another error in opinion or service.
Don’t think your position would ever draw a claim? Can’t imagine your services or advice triggering a lawsuit? Don’t forget today’s litigious society and realize that even innocence won’t provide protection from the high costs of attorney fees, court costs or other expenses. Many exonerated companies have been driven out of business or into bankruptcy simply covering the costs of their defense.
Professional liability will cover attorney fees, court costs, settlements and judgments. It only covers those incidents that occur while it’s in effect, so it’s important not to let coverage lapse.
As with any element of a comprehensive risk management program, there is no “one-size-fits-all” policy. Options and pricing are as varied as the business world, but your broker can guide you to the correct coverage for your particular situation.
And since practice doesn’t really make perfect, professional liability insurance turns out to be the perfect answer to those inevitable mistakes.