As a business, you know you need a business owner’s policy, including liability insurance. There are some people who just like to sue businesses, and you know it’s wise to have protection. That protection is called liability insurance. But, there are at least two types: general and professional. Which do you need?
General liability is typically used for an action that causes damage: bodily and/or physical. If you, or someone in your business, or your business causes someone bodily damage, then general liability will cover you. If you, or someone in your business causes physical damage to something, general liability insurance will cover you. General liability insurance will cover the costs of defending or investigating a suit or claim against you.
- Court costs
- Expert witness fees
- Attorney fees
- Police report costs
- Reasonable expenses you have if you are sued, such as income lost while being in court
- Judgments or settlements that might result from being sued
Professional liability insurance will cover the same costs of defending you as general liability, except, the coverage is more focused on negligence when providing professional services. It is sometimes called errors and omissions insurance. Professional liability is typically used when a professional code of conduct or standards was not met and the decision is usually more subjective than decisions for general liability.
So, which do you need? Probably both since most businesses include a risk of damaging a customer’s property or a customer claiming the business did not operate according to a code of conduct. Why take the risk? Contact us and be protected today.