Opening up a business comes with a lot of financial risk. One of these sources of financial risk is the possibility of your business facing a claim or lawsuit. You may think that claims and lawsuits are relatively uncommon and won’t affect your business but unfortunately, these situations occur all the time. All it takes is one mistake or decision that your client/customer doesn’t like and you could end up facing a claim that could easily sink your business if you don’t have the necessary funds on hand. Luckily, professional liability insurance can help.
What Is Professional Liability Insurance?
Professional liability insurance is a type of insurance coverage that is designed to protect business owners from potential costs due to a lawsuit or claim. It can cover things like legal fees, judgements, and settlements.
How Much Does Professional Liability Insurance Cost?
Unfortunately, there is no one set price for professional liability insurance. The cost you will pay for professional liability insurance is determined by a variety of factors that include:
- Your location
- The size of your business
- Your claim history
Running a business is never easy and can open you up to a lot of financial risk. Professional liability insurance can make a huge difference by giving you the assurance that you won’t have to cover the costs of lawsuits or claims yourself.