Who needs a Professional Liability insurance policy? Any business that provides guidance, information or knowledge-based services. Accountants, attorneys, even consultants should all consider a policy to protect them against claims. These tips can help in preventing claims or reducing the severity of claims.
1. Use contracts for all work. And have an attorney review as well! A detailed contract can provide the protection you need to avoid disputes.
2. Communicate effectively: Written communication is key, but make sure you set expectations and prevent any misunderstandings.
3. Rigorously screen and supervise employees and contractors: Yes! And make sure your agreement with them is a contract. Since they represent your company, make sure they can and will do the job they are required to do with the utmost professionalism and expertise. They are all a reflection of you.
4. Incorporate planned milestones into all projects: back to the contract, make sure deadlines are clear. Should a deadline need to be changed, add an addendum clearly communicating the changes.
5. Maintain a robust review process: double check, make sure everything is done appropriately. Have a Quality Assurance process and follow it for each and every client.
6. Follow laws, regulations and industry best practices: Don’t put yourself in a position where your credibility is challenged.
7. Mitigate cyber risks: data is big and making sure you have the proper parameters to keep information safe will minimize any risk of a loss.
These are great tips and I give full credit to Chubb. Check out the full article here: https://www.chubb.com/us-en/businesses/resources/7-steps-to-limiting-professional-liability-claims.aspx