Professional Liability in Knoxville TN & Oak Ridge TN

Unexpected accidents and errors can lead to unexpected consequences for businesses. If your business is accused of being at fault for the losses of another party, such as a client or customer, the ramifications could be significant. To safeguard against the financial risks associated with these liabilities, a specific type of insurance known as professional liability insurance may be necessary.

What Is Professional Liability Insurance?

Professional liability insurance, also known as errors and omissions insurance, is a type of policy that can financially protect professionals who provide services to others. The importance of such coverage may span industry lines and include many professionals, such as accountants, lawyers and physicians. Policies often focus on covering the expenses of defending against lawsuits alleging inadequate, late or mistaken services, and the costs of potential settlements or judgments.

How Much Professional Liability Insurance Do I Need?

The amount of professional liability insurance you need can depend on several factors. These often include the size of your business, the industry in which you operate and the perceived risk associated with your profession. For instance, a surgeon might need more coverage than a graphic designer due to the higher risk of harm related to the medical industry.

Consult with qualified professional liability insurance providers to determine the appropriate amount of coverage for your specific needs.

What Is Not Covered by Professional Liability Insurance?

While professional liability insurance can provide extensive and robust coverage, it should not be relied on to protect your business against everything that could go wrong financially. It typically does not cover intentional, criminal or fraudulent acts. It also does not cover liabilities meant to be covered under other insurance policies. For example, incidents resulting in other parties’ bodily injuries and property damage are often covered by general liability insurance, and cyber incidents typically require cyber liability coverage.

We’re Here to Help

Professional liability insurance may be an essential tool for businesses across various fields. However, it’s crucial to understand its limitations and ensure adequate coverage for your specific needs.

Contact the team at Bradley Insurance Agency today to ensure your business has comprehensive professional liability coverage.