Aug. 12, 2018 – Headlines about doctors being sued for malpractice are common, but that is only the tip of the iceberg when it comes to professional liability. Even lawyers, real estate brokers, financial planners and others who mostly give advice can be successfully sued by clients seeking compensation for oversights and mistakes that were made. With well over half of all civil plaintiffs prevailing in state and federal courts nationwide, events that initially seemed inconsequential can quickly become expensive. —
Recent versions of the annual RIMS Benchmark Survey, in fact, have seen costs associated with professional liability rising steadily among respondents. Between 2011 and 2013 alone, the approximately 1,400 organizations surveyed saw their associated spending per $1,000 in revenue jump by more than 25 percent.
The American Bar Association figures that the number of lawyers nationwide has risen 15.2 percent over the course of the last decade, with plenty of professional liability cases naturally following. Even professionals who might previously have thought goodwill and understanding would protect them can find themselves facing lawsuits over the errors and omissions they are perceived to commit while trying to serve their clients.
Fortunately, there are effective ways for professionals of all types to protect themselves against this significant, ever-present threat. A new, free guide to understanding errors and omissions insurance by The Feingold Companies makes it clear that appropriate, cost-effective coverage is available.
"Many dedicated, client-focused professionals today put far too much at risk by remaining vulnerable to professional liability lawsuits," said The Feingold Companies co-President Lisa Hirbor. "Something as simple as a misinterpreted comment or a misplaced paper can leave a professional facing the prospect of being forced to pay potentially huge amounts of damages. This is true even of those who mostly provide advice and information, and not just of others like doctors, engineers, and tradespeople. Our comprehensive new guide to errors and omissions coverage will be of interest and value to just about any professional who is looking for liability insurance today."
The federal Bureau of Labor Statistics estimates that there are nearly 1.4 million accountants practicing nationwide in a field that is expected to grow by a healthy 10 percent over the course of the next decade. About 450,000 Americans currently work as real estate brokers and agents, with more than a quarter of a million more earning a living as personal financial advisors.
Along with the nation's approximately 800,000 attorneys, half a million insurance agents, and many others, all these professionals can be held accountable in court for errors and omissions they make in the course of carrying out their duties. Although a 2017 Wall Street Journal headline claimed that "The Era of Tort Lawsuits is Waning," just a bit of bad luck can easily leave a professional facing large legal fees and even more formidable judgments.
Taking out professional liability insurance that covers errors and omissions can protect against the losses that might otherwise follow, including the costs of legal fees and other expenses. Even professionals who do not perform hands-on work can easily benefit from this type of coverage. Now available for free at the Feingold Companies website, a detailed new report covering errors and omissions insurance will be of real value to many professionals nationwide.
Release ID: 88907829