What exactly is professional liability insurance?
Professional Liability Insurance, Sometimes also referred to briefly as professional insurance, is an extremely important insurance. To understand why it is so necessary, we will start with the bottom line: it is a kind of safety net that can really save you from an economic collapse, in case God forbid a customer decides to sue you for negligence.
Unfortunately, we live in an age where malpractice lawsuits are not uncommon. More and more people are exercising their right to file a malpractice lawsuit against professionals, and this can happen for any reason: they may not have been satisfied with the service they received or the product they received did not live up to their expectations, short communication caused distress and more. A professional liability insurance policy is currently the only way in the insurance world to protect against such a situation. Therefore, it is especially critical insurance for freelancers, but not only.
Did you get a malpractice lawsuit? That way you will not fall into an economic pit
It is no secret that a lawsuit is a very expensive matter, especially if it is a lawsuit for professional negligence. Even if we go for the most optimistic scenario, and in the end the court decides that you are not guilty and that you do not have to pay compensation to the plaintiffs, you will still have to spend quite a bit of money.
It is a tedious and lengthy process that sometimes requires absence from work, preparation and consultation with a lawyer, and of course representation in the trial itself. On the one hand, you are forced to lose income due to absence from work, and on the other hand you have to spend a significant amount just to protect yourself.
At best, you will easily spend a few tens of thousands of shekels of your money, and at worst you will find yourself spending more significant sums, which can reach several hundred thousand shekels and even millions, thus shortening the way to a state of economic collapse and even closing the business, God forbid.
Professional liability insurance will prevent you from getting into this situation. The insurance covers all legal expenses from A to T (of course – in accordance with the conditions specified in the policy and in accordance with the level of liability specified in it). For that matter: you can choose the best lawyer to advise you and represent you, pay the court fee and even in order to pay compensation, if the court rules in favor of the defendants.
You can also get wider protection
To date we have listed the most basic coverages provided under a professional liability insurance policy. These are very important covers, which give you a certain sense of security. But if you really want peace of mind, it is important to know that there are certain extensions that can be tailored to your type of business.
For personalized professional liability insurance, it is important to consult with one of the professional liability insurance experts of Business Insurance Center. We have been engaged and specialized in the field for over 20 years and serve countless satisfied customers from all fields. We will be happy to be at your service as well.
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