Professional Liability Insurance
in Delaware

What is Professional Liability insurance?

Customers are becoming more difficult to please due to the increasing competition. small mistakes can lead to an issue, which can then turn into the case. Each time you offer clients advice or accept work from them, you inadvertently expose yourself to liability, too.

Professional Liability insurance can protect professional service providers from potentially devastating financial damages resulting from alleged negligence or error in the delivery of your services.  Professional Liability claims are typically made by clients who allege some form of financial damage due to your services, products or employees.

You could face a lawsuit in the event that a product you designed does not work or your advice causes financial losses to the customer. It could allege that there was a mistake in the design or the product was not up to standard. Your business and you are protected from third-party claims that result from professional negligence or errors when you are covered by Professional Liability insurance in Delaware.

What does Professional Liability insurance cover?

Even when a claim appears unfounded the legal costs and court costs could amount to thousands of dollars. This financial burden could affect small business owners. Liability claims can cause bankruptcy, or even the closing of a business in extreme cases.

Professional Liability insurance typically covers:

• Legal fees Finding competent legal representation is not an inexpensive job. Lawyers usually charge an hourly rate.
• Court expenses including filing documents with the court, underwriting fees, administrative costs, and any other costs.
• Settlements You may be able to avoid drawn out litigation. However, depending on your attorney’s advice, you will still need to pay.
• Judgments If your case is decided by the plaintiff in court, you must pay the amount deemed by the court.

It is important to note that Professional Liability insurance in Delaware covers even if you’re not the one to blame. Unfounded claims could cost as much to resolve as legitimate ones. It is possible to protect your company and professional reputation with a Professional Liability policy. It will pay for the cost of settling these costs.

What is not covered?

Professional Liability insurance shields many businesses against common risks. You should be aware, however, that the insurance does not cover all risks. Other types of insurance may be required for certain events, like:

• Property or commercial premises damaged
• The property of a client or a third party, damaged
• Work-related injuries or illnesses of employees
• Third party injuries that occur on your premises
• Business interruptions

BizInsure provides additional types of coverage that will help your business protect against the risk factors mentioned above and more. Delaware small business owners might also want to consider General Liability, Workers’ Compensation as well as a Business Owner’s Policy to more fully protect them against a wide range of risks that could affect their company.