People who make a living providing professional advice or services to clients are required to adhere to certain standards and best practices for their industry. If that describes you or your company, you face the risk that a client may feel that you made a mistake that adversely affected them and sue you for the financial damages they believe were caused by your error.
Professional liability insurance, also known as errors & omissions or E&O insurance, is designed to protect you from that type of situation. It covers things like oversights, negligence, and errors. With any of these issues, professional liability insurance from biBERK can cover the cost of your legal defense and any damages awarded to the person or company suing you. biBERK can also cover what are called punitive damages, if permitted by law in your state.
Punitive damages can be very high, as they are assessed by courts on top of other damages in order to further punish the party that is alleged to be at fault. If your state allows these damages to be covered by an errors & omissions insurance policy, biBERK can cover you up to the policy limit. In addition, biBERK provides an attorney to represent you, which means you don’t have to go through the hassle of finding one for yourself.
But what if the suit brought by your client is frivolous, meaning that what they are alleging is completely false? Does professional liability protect your business from meritless lawsuits? In short, the answer is yes, it can. Professional liability insurance can protect you from the financial repercussions of both actual and alleged errors and omissions. So, whether you made a mistake or the client is simply saying that you did, biBERK is there for you.
Professional liability insurance policies from biBERK start at around $300 annually and can go up into the thousands. Your exact professional liability insurance cost (which you can get in a fast, free online quote) is based on a number of factors, including your industry, the level of coverage you choose, how long you’ve been in business, how many employees have, your annual revenue, and the policy limits you need.
Your professional liability insurance cost is an investment that helps you protect your business, so it’s worth every penny. However, there are ways to help reduce the amount you pay for insurance. These include: