Professional liability coverage protects many different entities and businesses against liability claims and the cost of defense related to an error, omission or negligence in the performance of professionals services. Whether you work as a mortgage broker, a travel agent, or in printing or publishing (to name just a few professions), whenever you give advice to a client and they in turn, allege that your suggestions resulted in some financial loss to their company, you can be sued in court.
Miscellaneous Professional Liability (MPL) insurance is available for a wide array of professionals with exposures to these types of lawsuits. Running any type of business, by nature, is a risky endeavor, and these days, quality professional liability insurance is a must have coverage, especially, for example, for Certified Public Accountants (CPAs). Liability insurance helps cover you, your business, and also your employees from lawsuits, and offers insurance for many of the associated defense costs.
Did you know that New York State mandates minimum levels of professional liability for some professions? Professional service firms of all kinds, and this includes accounting, lobbyists, trustees, multimedia firms, insurance, process servers, and information technology services, can all benefit greatly by insuring themselves.
Even manufacturing and distribution companies should opt for this type of protection from outsourcing, online commerce and concerns about intellectual property. These risks are all too real and quite complex and extensive. You will likely need an expert who can tailor a comprehensive and cost-effective professional liability policy suitable for your risks and that will also offer consultation to you for the long haul.
Many companies are adding coverage for cyber exposure
Some professional liability policies also provide coverage for privacy violations and breaches of computer security. The threat of cyber terrorism can decimate a company, often crippling them for weeks on end while they try to restore their systems and prevent another attack from occurring. Speak to an insurance professional about adding cyber to an MPL policy.
An errors and omissions (E&O) policy, which falls under MPL insurance, is designed to provide comprehensive coverage for a wide range of professional service firms. Don’t go without this policy if your profession opens you up to certain risks. The right insurance professional will provide you with customized E&O solutions tailored to your specific needs.