Many people are in the “service” business in Ontario, and this requires the right kind of insurance. For example, you need liability coverage for more than just your commercial property. In fact, a Professional Liability insurance policy can be just as important, as you could be out millions of dollars in legal fees and claims settlements. This kind of insurance coverage can make the difference between staying in business and going under, and here is a perfect example.
George L grew up with video games and computers, and there was nothing more that he loved. Even as a small child, he liked to dismantle VCR machines and digital clocks to see what made them work (much to the chagrin of his parents). George’s love for computers soon grew and he became interested in the programming part of computers and studied hard in high school and college. Before long, he was writing his own programs and installing computer systems in his spare time. This eventually led to a very profitable IT business.
Even though George was very intelligent and knew a lot about IT technology, he knew very little about loss prevention and insurance. That is why he sought out an experienced insurance professional.
One day George and his employees installed a new computer system for a local business. This included software programs for the human resources, accounting, and warehouse departments. However, after a month the company kept coming up short on inventory and as a result they were losing a lot of customers. It later turned out that a glitch in the computer system was causing the problem and the company actually had sufficient stock on hand to cover their orders. This was discovered after a manual audit.
The company sued George’s IT service for many hundreds of thousands of dollars in damages. They claimed that they lost regular customers, had a financial loss and suffered damage to their reputation damage. Thankfully, his professional indemnity insurance was sufficient, thanks to the advice from his insurance person.
Defining Professional Liability Coverage
All it takes is one mistake to cost a company millions of dollars. In fact, many businesses cannot afford mistakes and that is why they take out professional liability coverage. For example, if you are sued for damages it could take a long legal battle and you could incur an enormous amount of legal fees and court costs. Your liability coverage will help to pay these costs.
Who Should Take Out Indemnity Insurance?
This special liability insurance should be considered by:
- Financial advisors
- Consultant services
- Insurance agents
- Corporate officers
- Accountant and bookkeeping services
- Life coaches
- Personal trainers
- Practitioners – includes healthcare professionals like nurses, physicians, dental professionals, and chiropractic doctors.
- Non profit organizations
Getting the Best Professional Liability Insurance in Ontario
Unless you know a great deal about loss prevention and insurance, it can be almost impossible to determine all your coverage needs. These things are best left to insurance professionals like the people you’ll find at Bunnell Hitchon Insurance Brokers Inc. Experience matters a great deal when it comes to insurance, and Bunnell Hitchon Insurance Brokers Inc. goes all the way back to 1890.
We are an independent insurance brokerage that does business with the top Canadian insurance companies. We take care of the hard work like comparison shopping, and this gives you low rates and exceptional coverage.