Professional Liability Insurance

Professional Liability coverage responds to claims resulting from errors or omissions made by traditional or non-traditional professionals performing their professional services.

Who are traditional professionals?

Traditional professionals have typically attended specific higher-level schooling, followed by extensive testing and certification. Examples of traditional professionals are physicians, accountants, lawyers, or architects and engineers.

Who are non-traditional professionals?

Non-traditional professionals are typically licensed to offer services that have a quasi-professional exposure. Examples of non-professional are real estate agents, consultants, beauticians, printers, or graphic designers.

Professional policies extend coverage for only economic or financial loss and exclude coverage for bodily injury and property damage. Bodily injury and property damage coverage typically is extended under a separate general liability policy. However, this does not apply to architects, engineers, or physicians.

Professional policies are written on a claims-made basis, which means the coverage must be in place at the time the claim is made and the incident occurred after the retroactive date. The retroactive date is typically the date in which a professional first purchased continual professional liability insurance. Unlike a general liability policy, defense costs are covered inside the policy limits, not outside of the policy limits.