Keeping your clients happy should be the main focus of your business in Marlborough, but there are times when you make an error so egregious that you end up costing a customer a significant amount of money. In these situations, professional liability insurance can save you from having to pay an expensive court judgment, which could be high enough to force you out of business.
What Types of Marlborough Business Benefit From a Professional Liability Insurance Policy?
Doctors in Marlborough
A professional liability policy for doctors is usually known as malpractice insurance and is in place to assist doctors from taking a financial hit if something goes wrong on the operating table, or there is a missed diagnosis. The coverage limits for doctors are usually much higher than in other professions, meaning the cost of professional liability insurance to them is a significant operating cost. Doctors who work primarily in an office, such as eye doctors or ENTs, will usually pay less than a surgeon who may be in the operating room 150 times a year. Always check with your local agent to get a customized idea of your insurance situation.
Attorneys and Professional Liability Insurance
Lawyer and other legal professionals in Massachusetts usually carry professional liability policies to help protect themselves from error and omissions lawsuits from clients who did not win their case. While most legal cases that are lost in court do so because of their lack of merit, some are defeated by an attorney's lack of organization or inability to meet filing deadlines. When this happens because of negligence, professional liability coverage may help pay out any award or settlement to the former client on behalf of the attorney, up to the policy limits for covered instances. It is important to note that professional liability policies, regardless of who obtains them, will not protect the insured against criminal charges.
With so many numbers to keep track of and forms to fill out, errors will occur with even the best Marlborough financial service providers. Accountants, stock brokers, insurers and money managers should all have at least some type of professional liability policy since even a small error can cost their client quite a bit of money. Large errors, like not filing a client's tax return, could end up with the client and preparer meeting in court. The tax preparer's insurance policy may help take care of a judgment or settlement related to the error. Always know your policy and its limits in and out, so you are better prepared in a situation like that.
While physical damage may generally be covered under either a homeowner's insurance policy, or commercial insurance plan, the extra expenses that come with a mistake in maintenance services can fall to the technicians themselves. This also includes a loss of income if the faulty work was done in a place of business. A professional liability plan may cover costs that come back onto the service provider, as long as the work was done during the time the plan was active.
With a professional liability insurance policy, you will not have to worry about a losing your business if you make an accidental error, even if it costs your client money. Those who provide services in Marlborough, MA generally do so in a quality fashion, making errors relatively rare, but keeping yourself protected lets you stay in business even among some of the worst case scenarios. Talk to a local friendly agent to know where you and your business stand!
This material is for informational purposes only. All statements herein are subject to the provision, exclusions and conditions of the applicable policy. For an actual description of all coverages, terms and conditions, refer to the insurance policy.