Liability insurance

Things you need to remember

5 Reasons Why Get Professional Liability Insurance For Healthcare HPSO’s

August 25th, 2014

You may be a dedicated healthcare professional or healthcare provider but it doesn’t guarantee that clients will always return the favor. You’ve been working hard inside the firm then suddenly clients came knocking with legal paper works. As a committed employee, you can say it’s unfair. But running a professional service provider has its own ups and downs.

 Even if you’re just working to provide quality service, potential exposure to legal issues are big burden to the whole business. That’s why healthcare companies, law firms, doctors, accountants, architects etc., purchase professional liability insurance to protect the employees and the firm from the high costs of lawsuits in the future. If you’re not sure whether to get insurance or not, here are the 5 reasons your firm should get one.

 Most clients now are requiring professionals to have liability insurance. They’re now wiser in thinking that if the person will commit an error the insurance will be the one paying for it. Don’t risk your company’s chance of having a new project just because you don’t want to spend for insurance. Just think that getting Professional Liability Insurance for Healthcare HPSO’s is a win-win situation between customers and your company.

  • Possible lawsuits are real no matter how big or small your firm is. You need coverage even if you only have 1 employee doing all the work. Preparedness is extremely important to every running small or big business. Remember that cost of expensive lawsuits means of lots of money and it’s not good for business either.
  • It’s a protection for inevitable incidents. When clients feel they’re wronged by a certain firm or company, they will not think twice to file a lawsuit. This incident could happen anytime even when you least expect it. It’s better if you’re prepared.
  • The cost for a light case is still a cost. It means shredding you’re hard-earned money. To prevent this from happening, contact a professional liability insurance provider to discuss about policies that would fit your firm and your employees.
  • Having the best Professional Liability Insurance for Healthcare HPSO’s will likely give you a financial security. It’s the safest way to protect your profession, plus it will surely give you peace of mind.
Professional Liability Insurance

Professional Liability Insurance

It’s been said that professional liability insurance is important for professionals who are giving service to customers using their specialization. To avoid financial loss due to customer complaints and lawsuits, this insurance becomes a hot commodity for business professionals out there.

What Does Professional Liability Insurance Policies Cover?

August 7th, 2014

By now, you probably know what a professional liability insurance policy is. Quite simply, this type of policy is bought by professionals looking to safeguard the future of their profession against the constant threat of lawsuits. As an example, a health provider can be accused of medical malpractice if he or she prescribed the wrong dosage of medication to a patient. If the latter can prove professional negligence—and that they were harmed as a result of it—then the possibility of them filing a lawsuit against the healthcare provider is very high.

If the health provider in question is not able to prove their innocence—and if they are not covered under a professional liability insurance policy—then the lawsuit has the potential to leave them financially ruined for a very long time.

So that’s right: This type of coverage protects professionals from financial loss associated with a lawsuit. But what exactly does this policy cover and what does “financial loss” mean? Even more importantly—do you have to be innocent to profit from this type of coverage?

The answer is no. A professional liability insurance policy protects you, regardless of whether you were at fault or not. Once the deductible has been paid to your insurance company—or in other words, the amount of money that you agreed to pay before the company is able to reimburse your claim—the latter will take care of every fee associated with the lawsuit. This includes the defense fees as well as the settlement that has been ordered by the court. So that’s right: You won’t have to worry about hiring a lawyer to defend you. Your insurance company will take care of that. What’s more, the lawyer will work closely with you and do everything in their power to prove your innocence—assuming that it is the case, of course.

It is good to note, however, that certain policy won’t cover you for mistakes that you might have done in the past and which led to someone to file a lawsuit against you. It is always a good idea, therefore, to spend time reading the details of a policy before buying it, and to consult with your insurance broker on a regular basis.

Who Needs Professional Liability Insurance Coverage?

June 2nd, 2014

As a professional, not being insured properly can be your biggest downfall. This is not surprising: Your respective field of work probably entails quite a few risks. And because we are all prone to errors and accidents—regardless of how much experience we have under our belt—we can never truly be safe from unintended consequences occurring as a result of an error, omission or professional negligence. For many people, such consequences come in the form of a lawsuit.

Let’s say that you are working as a contractor in the construction field and that you are not currently covered under a professional liability policy. You have been working in the construction field for over a decade, so it would be safe to say that you know your way around the job. The truth is that those years of experience, while they certainly help in general, can’t always prevent you from making a mistake. And this is exactly what happened today—except that mistake led to the injury of a person.

What do you do in that situation? Even worse—what do you do when said person decides to file a lawsuit against you by claiming a case of professional negligence? As we stated above, you are not insured. More likely than not, you also have a family to feed. How can you afford to pay the costs associated with a lawsuit? You simply can’t.

On the other hand, this would have been a completely different story had you been covered under a professional liability insurance for contractors.

Quite simply, if your job requires you do make decisions that could potentially damage a company, then you need to be covered under this policy. Similarly, if you work in a field where the possibility of a client suing you for damages caused by an error on your part exists, you need to be insured. Think: consultants, physicians, accountants, lawyers, engineers and many, many others. The more risks a profession entails, the faster you need this policy.

As a professional, it is your duty to prepare yourself for the worst-case scenario. While this is not something that any of us like to think about, such scenarios happen on a daily basis all over the world. They happen to people who are insured and they happen to people who aren’t. You make a conscious decision to fall into one of these two categories.

So which one will you choose?

P.s. Looking for really good Calgary insurance brokers?

What Does “Adequate” Professional Liability Insurance Coverage Entail?

May 23rd, 2014

When shopping around for the perfect professional liability insurance policy, it is a good idea to look at the various options available to you. As a professional, protecting your future by insuring yourself is always a wise idea—but so is ensuring that the coverage that you buy is able to meet your needs adequately.

When people buy a policy, they think that they will automatically be covered for everything that they need… without having to do their homework. The truth is that policies tend to differ from company to company. As a buyer, you must spend some time reading the details of a policy and even go as far as discuss it with your insurance broker to make sure that you are on the same page.

With that being said, what exactly does “adequate” professional liability insurance coverage entail? You first have to see if the policy covers everything that you do in your profession. You also have to remember that it is not uncommon for people to stray beyond their original profession during the course of their work. If you purchase a professional liability insurance policy for your main profession, you should ensure to have additional coverage as needed.

The next thing that you will have to do is research whether the defense costs are included in the policy. We don’t recommend buying a policy that do not include the defense costs as the latter can be very costly. Prevention truly is the key: Even if you find yourself having to pay higher premiums (and a higher deductible), those two combined are still better than the defense fees that you would have to pay in the event of a claim.

When shopping around for the best professional liability insurance policy, you should also always double check that the coverage is not exclusive to your country only—especially if your profession involves working with clients from foreign countries. Lastly, you should also consider whether the policy has a retroactive exclusive date. If it is the case, then you might find yourself in trouble down the road when someone files a claim against you for an error or omission that occurred before the retroactive date. No matter how unlikely this might sound, it is not uncommon for people to file a lawsuit against a professional for work that was done years ago.

We always recommend that you discuss those points with your insurance broker, particularly if you are thinking of switching insurance company.