Heightened awareness of ESG (Environmental, Social and Governance) issues has far-reaching benefits in terms of equity, inclusion and resilience. But this awareness has also created a more litigious environment for business owners and c-suite executives. Coupled with a seismic shift in how, where and when business is conducted, the need for robust Professional Liability coverage is greater than ever.
Here’s a brief outline of what today’s business executive should know:
What is Professional Liability insurance? Simply defined, it is coverage against potential loss associated with management activities, governance structures, financial responsibility and benefits implementation by a business or corporation.
- Why does my business need it?
- Digital transparency has flooded the marketplace with information – good and bad, true and erroneous – regarding companies and those that run them. This opens a business to a host of exposures, real and imagined.
- Stockholders and investors operate with increased scrutiny and frequently take issue with fiduciary actions, often seeking redress in court.
- Business is increasingly conducted virtually, away from the structures, norms and rules of in-person commerce. Work From Home, intentionally or not, has created new environments for which there are few rules.
- The emergence of the Gig Economy means independent contractors, acting on behalf of their clients, exponentially increase exposure through intentional or unintentional conduct.
What does it cover? A comprehensive business liability stance will include policies for business specific Professional Liability, Directors & Officers, Errors & Omissions, Employment Practices, Fiduciary Liability, Cyber Liability, Security Breach and Network Disruption, Crime, Malpractice, Abuse & Molestation, and Accident & Event policies. Additional coverage for extortion and kidnapping and ransom coverage for high profile or public positions may be needed as well.
Who is it for? Professional Liability insurance is essential for a wide range of independent contractors, consultants, Mom and Pop businesses, small start-ups, and smaller, publicly traded corporations.
For 100 years, Oakbridge Insurance has grown to meet the very specific needs of businesses across the Southeast. Our experts understand the changing dynamics of the workplace and the marketplace. We’re happy to outline how we can optimize your coverage with a custom-tailored plan.