Professional Liability Insurance Coverage Solutions
To Obtain a Quote for Professional Liability coverage...
We will need the following information:
- Business Information: Name, address, and contact details of the business.
- Professional Services: Detailed description of the professional services provided by your business.
- Credentials and Certifications: A list of relevant credentials and certifications held by your business and its employees.
- Risk Management Practices: Description of the risk management and quality assurance measures in place.
- Claims History: Details of any previous claims or legal actions taken against your business.
Our Professional Coverage Application Process
Please note that the following is a comprehensive application process, distinct from the initial quote request at the top of the page. The quote request is a preliminary step to initiate conversation, while the below link is a detailed application which is essential for proceeding with your coverage options.
Providing this information now, if you have the time, will expedite the entire process. Completing this detailed application is beneficial for a swift and efficient assessment of your needs, regardless of whether you've opted for a direct conversation initially. We appreciate your effort in filling out this application to help us serve you better and faster.
As always, we will need your loss history, so please note that included in the Indio portal below you will find a “Loss Runs Request” document and a “No Known Loss Letter” document should these be applicable to you, then they are needed!
Any questions please let us know, services@iwp.agency.
Please complete, sign, and submit back to our office these documents via our secure online Indio portal, linked provided below.
Understanding Professional Liability Insurance
Who needs Professional Liability Insurance?
Professional Liability Insurance, often referred to as Errors and Omissions (E&O) Insurance, is designed to protect professionals and businesses against liability incurred as a result of errors and omissions in performing their professional services. This type of insurance is crucial for professionals such as doctors, lawyers, architects, engineers, consultants, and accountants, among others. Here’s a detailed and technical exploration of the coverage components of Professional Liability Insurance, followed by a breakdown of the ISO Commercial Lines Property Policy typically used in Texas.
Professional Liability Insurance Coverage
- Claims-Made Coverage:
- Trigger: This insurance typically operates on a claims-made basis, meaning coverage is triggered when a claim is made against the insured during the policy period, regardless of when the wrongful act occurred.
- Retroactive Date: Policies include a retroactive date; incidents that occurred before this date are not covered, even if the claim is made during the policy period.
Coverage Elements:
- Defense Costs: Covers legal defense costs, which are often included within the limits of liability. This can erode the limits available to pay settlements or judgments.
- Settlements and Judgments: Covers the amounts that the insured is legally obligated to pay as a result of claims for professional negligence, including settlements and court-awarded damages.
Exclusions:
- Common exclusions include claims resulting from intentional wrongdoing, dishonest acts, fraudulent acts, criminal acts, and sometimes contractual liabilities.
Extensions and Endorsements:
- Prior Acts Coverage: Can be added to include coverage for acts that occurred prior to the policy start date but after the retroactive date.
- Tail Coverage: Also known as extended reporting period coverage, allows claims to be reported after the policy has expired for acts that occurred during the policy period.
ISO Commercial Lines Property Policy (Texas)
The ISO Commercial Lines Property Policy provides a standardized framework for property insurance, which is adapted by insurers to meet state-specific requirements such as those in Texas. The policy consists of several key forms and endorsements:
1. Building and Personal Property Coverage Form (CPP 00 10):
Property Covered:
- Buildings or structures including completed additions, fixtures, permanently installed machinery and equipment.
- Business personal property owned by the insured and used in business.
- Personal property of others in the care, custody, or control of the insured.
Property Not Covered includes but is not limited to accounts, bills, currency, animals, automobiles, and electronic data.
2. Causes of Loss Forms:
Basic Form (CP 10 10) includes perils like fire, lightning, explosion, and vandalism.
Broad Form (CP 10 20) covers all basic form perils plus additional perils like falling objects and water damage (excluding flood).
Special Form (CP 10 30) offers coverage against all risks of direct physical loss unless explicitly excluded. Exclusions can include ordinance or law, earth movement, governmental action, nuclear hazard, utility services, and war and military action.
3. Additional Coverages typically included:
Debris Removal: Provides additional coverage for the expense of removing debris caused by a covered loss.
Increased Cost of Construction: Covers the additional costs to meet current building codes when repairing or replacing a damaged building.
Fire Department Service Charge: Covers charges imposed by a fire department for their service to a covered location.
4. Conditions and Exclusions:
Policies set forth conditions under which coverage is provided and detail the duties of the insured in the event of a loss, how losses will be valued, and how claims will be settled.
Exclusions can limit coverage for certain risks, activities, or circumstances, thus defining the policy's limitations.