Define Professional Liability Insurance

Example of professional liability insurance.

Define professional liability insurance. Professional liability a type of liability coverage designed to protect traditional professionals e g accountants attorneys and quasi professionals e g real estate brokers consultants against liability incurred as a result of errors and omissions in performing their professional services. Professional liability is a better characterization of the responsibility of all professionals to their patients than is the concept of. Medical malpractice insurance is a common example of a type of professional liability insurance. Medical professionals do their work under the not.

These limits might be as low as 100 000 per employee 100 000 per. If someone is sued because of a professional liability this insurance would cover the legal fees and the settlement if the insured loses the trial. The legal obligation of health care professionals or their insurers to compensate patients for injury or suffering caused by acts of omission or commission by the professionals. Insurance glossary professional liability insurance definition.

These policies are designed to cover a specific type of professional liability in different fields. Employers liability insurance policies also place limits on what they must pay out per employee per injury and per illness. Meaning pronunciation translations and examples. In many countries liability insurance is a compulsory form of insurance for those at risk of being sued by third parties for negligence the most usual classes of mandatory policy cover the drivers of motor vehicles vehicle insurance those who offer professional services to the public those who manufacture products that may be harmful constructors and those who offer employment.

Professional liability insurance definition. Professional liability insurance is insurance for a company or a professional person. Professional liability insurance pli also called professional indemnity insurance pii but more commonly known as errors omissions e o in the us is a form of liability insurance which helps protect professional advice and service providing individuals and companies from bearing the full cost of defending against a negligence claim made by a client and damages awarded in such a civil. Professional liability insurance definition and risks covered.