Who needs Professional Liability Insurance?


While the consequences of physical awkwardness are covered by operating RC, professionals with intellectual responsibilities can be covered by professional RC insurance. A mandatory policy in many sectors.

While the consequences of physical awkwardness are covered by operating RC, professionals with intellectual responsibilities can be covered by professional RC insurance. A mandatory policy in many sectors.

What is professional liability insurance?

Activity is likely to cause damage to third parties. Sometimes, the civil liability of the professional is engaged and he must answer for his errors. This is why civil liability insurance (RC) is necessary.

Professional RC covers both contractual and extra-contractual liability arising from the exercise of a profession on damage caused by services to third parties.

The professional RC insurance policy is particularly suitable for the self-employed, SMEs, or larger companies whose activity is mainly intellectual. Providers of intellectual services are thus covered by the consequences of their decisions.

Who is covered by this policy?

To know

Compulsory insurance for certain professions

Several sectors of activity (accountants, financial agents, etc.) are legally required to take out professional liability insurance in order to carry out their activity. This is particularly the case for accountants, financial officers, or architects. Do not hesitate to find out if your sector of activity is concerned with this obligation.

This font is recommended for freelancers or companies providing services and intellectual advice:

  • Health professionals
  • Legal professionals
  • Accountants and chartered accountants
  • Real estate agents
  • IT consultants
  • Insurance agents
  • Architects

Coverage of the RC pro

Professional liability insurance covers material, immaterial and bodily damage caused to third parties by the policyholder (the company or the self-employed person).

Concretely, it protects you from the monetary consequences suffered following an error, a fault, and thus protects you from the risk of insolvency resulting from a claim by a third party.

Additional guarantees are possible. They can be adapted to each type of activity by insurance companies.

Price of professional liability insurance

The price of professional liability insurance is calculated according to several factors:

  • Turnover
  • Type of business activity
  • Amounts to be insured

It should be noted that a deductible is often provided for in the contract. This can in particular be progressive (for example €200 for the first fault, €300 for the next).

To choose your Professional Liability insurance, compare the offers of several insurers now by completing the questionnaire provided to you.

Professional liability insurance

Professional service providers face unique risks that can land them in legal trouble. With our industry expertise and extensive network of brokers, we can help protect your professional services business with liability insurance.

What is Professional Liability Insurance?

General liability insurance, product liability insurance, professional indemnity insurance… Many insurance solutions on the market seem similar, but it is important to choose the one that best suits your business. So what is the difference between professional liability insurance and other types of liability insurance?

Professional liability insurance helps cover the defense costs associated with alleged professional negligence claims brought against your business. It is also known as errors and omissions insurance and can protect you in the following situations:

  • You made a mistake in your work.
  • You omitted an important element.
  • You have provided an incomplete or inadequate service.

If your mistake results in financial loss to a third party, a lawsuit could be filed against you and your business. Although commercial general liability (CGL) insurance can protect you in certain legal situations, the inherent complexity of professional general liability claims may require specialized and more extensive protection.

Who needs Professional Liability Insurance?

When you provide professional services, such as management, accounting, or legal advice, you can harm your clients if you give them bad advice or provide inadequate service. In many cases, you will be liable for any financial losses and legal fees that may result.

Professional civil liability is not always simple. In fact, there is no universal liability insurance for all professionals; each profession faces different risks and will require unique insurance solutions.

In some cases, professional indemnity insurance will cover financial losses and in others, it will provide protection against bodily injury claims. Some professional classes even require insurance that will combine these two aspects. You must therefore take out professional indemnity insurance that suits your activities and your business.

By Master James

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