In this Age of Litigation, it is wise to consider what protections are available in the business community. Miscellaneous professional liability protects against financial loss if you are sued for underperformance, low sales or even artistic appropriation. Here are five reasons to consider coverage:
Disgruntled people these days take their claims to court. Regardless of whether or not a claim is deemed legitimate, the publics urge to exercise its right to use the legal system is strong.
2. Legal defense is expensive.
The cost of going to court is more than monetary, although the dollar amount may be high. There is also work time lost and possible loss of professional standing.
3. Contracts have their limitations.
Employment contracts may cover much ground, but they are typically limited in the amount of protection they deliver in court. Contracts are often easily challenged in areas of professional liability.
4. More clients are requiring Errors and Omissions.
Many companies want the professionals they hire to carry miscellaneous professional liability. In a competitive job market, it may provide the edge in securing a project.
5. MPL insurance is cost-effective.
Carrying a liability policy inspires confidence in potential clients, and lets them know you are a responsible professional in your field. The cost of carrying a plan makes economic sense when you consider the potential costs of a single lawsuit.