MISCELLANEOUS PROFESSIONAL LIABILITY & RELATED LINES

MISCELLANEOUS PROFESSIONAL LIABILITY & RELATED LINES

Economic downturns prompt many business owners to trim expenses. As a cost cutting measure some even consider dropping their professional liability (errors & omissions) insurance, especially if they have had little or no past claims experience. This fallacy of thinking invites financial problems for clients who have not discussed the ensuing ramifications of such a decision with their insurance representatives.

When business is slow & earnings are down, managers may correlate less business activity with fewer transactions and perhaps lower potential claims exposure. In fact, at such times protection could prove more crucial because liability continues for new claims from past dealings i.e. customers who become dissatisfied with earlier transactions and may now seek remedy through litigation.

Clients should understand that the longer they have had a ‘claims made’ professional liability insurance policy in force, the greater the possible benefit of that insurance product. This is because the insurance covers wrongful acts that occur after the policy retroactive (or prior acts) date, and which are reported during the policy period. The earlier the retroactive date, the better the likelihood of protection for a wrongful act, error or omission in the provision of or failure to provide professional services.

Most of us realize that frequency statistics give little comfort if an unfortunate event does occur. The fact that an insured has not had any recent claims activity, does not entirely eliminate the actual exposure they face. Furthermore, a lack of activity does not rule out the potential severity of a claim. The overall impact of an uninsured matter can prove devastating to the finances and future of a firm. A risk manager should not lose sight of the relatively small premium outlay vs. the size of the policy limit purchased. The insurance transaction fosters greater financial security and stability.

Other key advantages are the expertise of the insurance representatives in objectively handling claims, while the insured client is able to retain focus attention on their core business operations.

At Trinity, we write both primary and excess on most lines of business. We specialize in creative solutions with flexible terms customized to address the client’s particular needs.

Policy Highlights

 A.M. Best “A” (Excellent) rated, or better

 Limits up to $10,000,000 or more on most classes – primary or excess

 Network Security & Privacy Coverage Extensions Available

 Contingent BI/PD Extensions Available-certain classes

Coverage Highlights typically may include

 Modified Hammer Clause

 Punitive Damages

 Personal Injury Coverage

 Defense for fraud, dishonest, intentional acts

 Defense for Discrimination

 Innocent Insured coverage

 Independent Contractors coverage

 Supplemental Payment for Subpoena Expenses

 Worldwide Coverage

SAMPLE CLASSES OF BUSINESS (NOT ALL INCLUSIVE):

• Related coverage is also available, where exposure exists for:

         Network Security & Privacy Liability (see Cyberliability Section)

         Media Liability (see Cyberliability Section)