General Liability and Professional Liability
A question we hear quite often at Blake Insurance Group LLC, “Is general liability insurance different from professional liability insurance? If I have one do I need the other?”
Risks Business Owners Face Today
When thinking about business insurance, remember that the kinds of risks businesses face can be detrimental. And the costs associated with these types of threats can be significant. Not only are you insuring the risk of your business, its property, and employees, but those who come into contact with your company and employees. Typically, a general liability insurance policy will cover these types of risks. While professional liability insurance will covers risks associated with your business as well, its coverage is more specialized and only applies to certain professions and scenarios.
A general liability policy usually insures against claims by a third party alleging bodily or personal injury or property damage. In additional to physical harm or property damage a general liability policy also covers the legal fees and expenses that come with your legal defense, settlements, and property damages.
Professional liability insurance you may also hear called errors and omissions provides coverage for negligence in regards to the professional services you offer. In most scenarios, it is a claim concerning financial damages, versus an allegation of physical harm against your business. This isn’t always the case, for example, a doctor would carry malpractice insurance to cover them if they were to give a misdiagnosis. Other professions where there is a professional code of conduct or standards which are used as a measure for evaluating how your services should be judged carry this type of coverage. When it comes to settling claims, it is all subject to interpretation decided by the courts.
Liability Insurance Quotes for Tucson Residents
Going without general or professional liability insurance is risky. The reason is one claim can lead a business to financial ruin. There are situations where damages and injuries are real, and action needs to be taken; other times, lawsuits may have no merit. Unfortunately, frivolous or real you have to be ready for either scenario as court costs can be costly. Working with an agent like Blake Insurance Group will help you determine if a professional liability insurance policy is required for your business and also for any employees who may also work with clients providing services, or if a general liability insurance policy is enough. Call Blake Insurance Group today for your liability insurance quote.