Industry Experts Should Have Professional Liability Insurance

The growing number of corporate scandals and public bankruptcies, together with the cost of implementing new laws and regulations, have led to another type of growth. That is the mounting risk for company managers, who are rightly concerned about their individual liability in lawsuits brought against their company or board. Omissions insurance for managers addresses these risks and can help businesses attract and keep the skilled executives they want and need.

Errors and Omissions

Also known as professional liability insurance, this coverage protects businesses and their directors or officers against the cost of a lawsuit and settlement should professional work or services not perform as expected. Companies exposed to this type of lawsuit typically include:

  • Consultants
  • Accountants
  • Financial firms
  • Attorneys
  • Architects
  • Engineers
  • Manufacturers
  • Technology/IT
  • Defense contractors

There are many additional professions that carry a higher risk of a lawsuit of this type. One thing they have in common is the potential of costing a large amount to defend, as well as the cost to settle the claim or to pay the court award.

Experts Must Deliver Expert Results

Omissions insurance for managers is a necessity for professionals who are expected to have expert-level skills in their field. Along with those skills comes the expectation that they are able to perform the work they were engaged to complete, according to the standards in their industry.