No matter whether you are a doctor or a lawyer, there are times you make mistakes unknowingly. In such cases, the third party bears the brunt of your fault. While you may want to apologize for your fault or negligence, there might be some cases in which an apology isn’t enough. The affected person may want to drag you to the court and sue you. In such cases, professional indemnity insurance comes in handy; it is also called the errors and omissions policy.
Most of the people who work don’t even think of taking professional indemnity insurance. But having insurance for your professional errors and negligence is a safety cover. It helps you in case someone sues you and claims the litigation. You can get covered by professional indemnity insurance by iselect. Their insurance keeps you safe and secure in case anything goes wrong in your profession. Here are a few benefits of professional indemnity insurance.
You can insure in groups
You may work as a doctor, and have a bunch of doctor colleagues or friends. While getting professional indemnity insurance, you can take the insurance in a group. In the case of business, you have to insure the company, but in case of a specific profession, you can insure in groups. You pay less deductible and premiums in case of group insurances.
It covers all
You must think that like business insurance, you might have to take various policies or something similar to the BOP, but that’s not the case. Professional indemnity insurance covers any liability claims arising out of negligence or omission or any professional mistake which causes harm to the third party. So, if someone sues you for a fault, you will have the cover to get you through the court hearings.
Covers for the defense
As mentioned earlier, the professional indemnity insurance covers all. Meaning it will also cover for the defense-the fees of your lawyer, plus any costs related to the trial. All the amount for your defense comes from the amount you insured in the policy. It is a smart way to ensure you have a backup plan if things go south in your profession. You won’t have to spend your hard-earned money in one go on a court trial.
It is tenure specific
One thing to keep in mind while taking professional indemnity insurance is, it is tenure specific. It means the insurance covers all the costs of your defense during the tenure of insurance only. So, every professional must remember to renew their insurance from time to time. If there are claims after or before the policy, then the insurance company won’t cover it. That’s why you must renew the insurance on time.
Professional indemnity insurance is a necessity for lawyers, doctors, and nearly every managerial job. It is a safe cover during times of need. If someone claims you are responsible for their harm during your professional activity, you can fight for yourself without worrying about the costs.