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Professional Liability

Posted by Kristin Bowen on Jan 13, 2016 8:00:00 AM

Businessman-Falling.jpgDid you know West Bend offers Professional Liability for specific classes of business on our SMARTbusiness™ and Commercial Package Policies? Here are brief descriptions of the coverages we offer: 

Funeral Directors
This coverage provides for damages arising out of the insured’s rendering or failure to render professional services as a funeral director but only in connection with the insured’s business. The damages must be caused by an occurrence. This is only available for funeral homes or chapels on SMARTbusiness. A charge is made for this coverage on SMARTbusiness.   

Morticians Malpractice and Cemetery Professional Liability Coverage Form 
This coverage provides for damages arising out of the insured's rendering or failure to render professional services in the conduct of the insured's operations. The damages must be caused by an occurrence. Coverage can be provided on General Liability policies or Commercial Package policies.  The basic limit for this coverage is $100,000 per claim, subject to a total aggregate limit of $200,000 during the policy period. 

Printers Errors and Omissions Liability Coverage Form
This coverage provides insurance for damages because of any error, omission, or negligent act in the course of the insured's printing service business. Coverage can be provided on SMARTbusiness or Commercial Package Policies. It’s only available on business classifications for SMARTbusiness of advertising and related services, copying and duplicating services, lithographing, photoengraving and plate making, printing-commercial all other, printing-digital, mail addressing or mail advertising services, and graphic art and design. The basic limit for this coverage is $100,000 each loss, subject to a $1,000,000 aggregate. A $500 deductible applies to each loss.

Operations ineligible for this coverage include:

  1. Newspaper (excluding weekly advertisers), books, or magazine printing;
  2. Printing of stamps – postage or trading;
  3. Ticket printing, such as, but not limited to, raffle, lottery, sports, or concerts;
  4. Printing of controversial material; and
  5. Printing of currency, securities, travelers’ checks, or money orders.

Note: This coverage does not apply to publishers.

Religious Institution Counseling Services Liability
This coverage provides Professional Liability coverage for clergymen for whom the insured becomes legally obligated to pay as damages because of a “wrongful act” in the course of performing counseling services. This insurance applies only to wrongful acts that occur during the policy period. It’s designed to be used with General Liability or Commercial Package Policies. The basic limit for this coverage is $100,000 wrongful act and $200,000 aggregate limit. 

Optical and Hearing Aid Establishments
This coverage provides for damages arising out of the insured’s rendering or failure to render professional services in connection with optical or hearing aid services, including the preparation, fitting, demonstration, or distribution of ophthalmic lenses and similar products or hearing aid devices. This is only available for SMARTbusiness and can only be used with the business classifications of ophthalmologist medical office, optometrist medical office, optical goods, ophthalmic distributors, and hearing aid, drug stores, or department or discount stores.

Pharmacists Professional Liability  
This coverage provides for damages arising out of the insured’s rendering or failure to render professional services in connection with the practice of pharmacy, but only in the operation of a retail pharmacist or pharmacy. This coverage would be for pharmacists within the traditional role of filling prescriptions and consulting with patients about the use of their medication. This is only available for SMARTbusiness and can only be used with the business classification of drug stores.  

Veterinarian Professional Liability    
This coverage provides for bodily injury, property damage, and personal and advertising injury arising out of the rendering of or failure to render professional services in connection with the insured’s practice as a veterinarian, including serving as a member of a formal accreditation, standards review, or equivalent professional board or committee. The limit of insurance must be the same as the limit provided for Liability and Medical Expenses Coverage. This is only available for SMARTbusiness and can only be used with the business classifications of veterinarian or veterinarian hospitals and pet stores. 

Operations ineligible for this program include:

  1. Large animals;
  2. Training or obedience schools;
  3. Grooming-receipts over 25%;
  4. Boarding or kenneling-receipts over 25%;
  5. Animals used or bred for professional racing, showing, or delivering;
  6. Animals belonging to zoos, circuses, carnivals, rodeos, theatrical or other show enterprises;
  7. Laboratory animal breeders;
  8. Animal shelters;
  9. Commercial cattle or hog confinement operations;
  10. Animal auctions; or
  11. Prize livestock.

Veterinarian Professional License Review Expense
This coverage is automatically provided when West Bend provides the Veterinarian Professional Liability Coverage. The endorsement provides this coverage:

  1. Coverage for expenses incurred as a result of a professional license review. The limit of insurance automatically provided is $5,000 annual aggregate.
  2. An optional $25,000 annual aggregate is available for an additional premium.

Employee Benefit Liability Coverage Form 
This coverage provides insurance for those sums the insured becomes legally obligated to pay as a result of damages sustained by an employee, a prospective employee, or a former employee of the insured or the beneficiaries or legal representatives in the administration of the insured’s “Employee Benefits Program”. The damages must be caused by any negligent act, error, or omission of the insured or any other person for whose acts the insured is legally liable. A $1,000 deductible applies to each claim regardless of the applicable limit. This coverage is available on all West Bend products that offer General Liability coverage.   

Contractors Errors and Omissions Coverage Form
This coverage provides payment when the insured must legally pay damages for faulty workmanship, materials, or products. The damages must have resulted from the insured’s error, omission, or negligent act while acting in the insured’s business capacity, or from a defect in material or in a product sold or installed by the insured. This coverage can only be written for specific business classifications when West Bend provides the underlying General Liability policy. This is not eligible for our SMARTbusiness product. Limits range from $100,000 to $1,000,000.

Manufacturers Errors and Omissions 
This coverage provides payment when the insured must legally pay damages for faulty workmanship, material, or products. The damages must have resulted from the insured’s error, omission, or negligent act while acting in the insured’s business capacity, or from a defect in material or in a product sold or installed by the insured. This coverage should only be written on durable or soft goods products. Types of operations to consider would be processing, manufacturers, metalworking, or machine shop operations when West Bend is also providing the underlying Products Liability coverage on the underlying General Liability policy. Limits range from $100,000 to $1,000,000.

Operations ineligible for this coverage include:

  1. Risks where there is a known defect for a product; or
  2. There is a product exclusion on the General Liability policy; and
  3. Risks involved with importing, processing, refining, distributing, producing, or manufacturing any consumable food, feed, or beverage products.

This is just a brief description of the Professional Liability coverage we offer. For details of coverages and exclusions, please contact your independent insurance agent. Remember, whether you have a large or a small business, these professional coverages may be necessary..

This blog was written by Barb Sopinski, Senior Commercial Underwriter.

 

Topics: business, liability

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