Professional Liability Insurance
in Minnesota

Increasing competition means clients are getting more difficult to be satisfied with the services and products they receive. Even if you’re careful when it comes to your work tiny mistakes can result in an issue or claim. When you inadvertently provide advice to clients or take work from them, you expose yourself to liability.

Professional Liability, otherwise known as E&O insurance, protects your business against claims of negligence, misrepresentation or mistake, as well as document or paperwork errors.

What does Professional Liability insurance cover in Minnesota?

Even if the claim is proven to be untrue costs for legal and court costs alone can add up to thousands of dollars. Small business owners could be affected by the cost of litigation. Even worse, business closures and bankruptcy can result from liability claims.

The kind of insurance you choose as well as the limit stipulated by your insurance contract, will determine how much Professional Liability insurance will cost you.

• Legal Costs Legal representation doesn’t come inexpensive, and most lawyers charge an hourly rate.
• Court Expenses – Including filing documentation with the court, underwriting charges as well as administrative costs and other related expenses.
• Settlements: If your client agrees in writing to settle the matter outside of court, you might be spared from a long and lengthy litigation procedure. However, you’ll be required to make a payment, depending on the advice of your lawyer.
• Judgments If your case is ruled in favor of the plaintiff at trial You will be required to pay the amount deemed by the court.

It is important to note that Professional Liability insurance in Minnesota covers your losses even when they are not at fault. The most common claims that are not justified are as expensive to settle than those with merit. It is possible to protect your company and your professional reputation by purchasing a Professional Liability policy. It will pay for the cost of paying these expenses.

What isn’t included in the policy?

Professional Liability insurance can protect businesses from common risk exposures. However, it’s crucial to be aware that it doesn’t guarantee your company’s protection for all eventualities. For events that are not covered by your insurance plan, you might need to search for other coverage options like:

• Property and commercial premises may be damaged
• The property of a client or another third party that is damaged
• Injury or illness related to work for employees
• Third party injury
• Business interruptions

BizInsure will provide additional insurance to protect your business against these risks and others that small-sized businesses are exposed to. Minnesota small business owners may be interested in General Liability insurance, Workers’ Compensation insurance, or a Business Owner’s Policy to safeguard themselves from a wide variety of potential risks.