Professional liability insurance
With professional liability insurance, you protect yourself from unexpected expenses related to damage caused to other persons by your mistake in your professional service (e.g., a mistake in a construction project, accounting service, etc.).
Professional liability insurance
If an error in a professional service has caused damage to another person, ERGO professional liability insurance will help to cope with the claim for damages. In the event of an insured event, professional liability insurance covers the claims for property damage agreed in the terms and conditions of insurance, as well as legal assistance and judicial expenses related to the insured event and agreed in advance with ERGO.
Mitigating the risks related to professional liability with insurance should be considered by all companies for whom reliability and excellent client relations are important.
Wide insurance cover
ERGO professional liability insurance provides a wide insurance cover to mitigate risks that may arise from various activities.Client-based solutions
When concluding ERGO professional liability insurance contracts, we proceed from the specific client, the risks related to their activities, and the need to mitigate such risks.Competent team
ERGO has a risk management, sales, and claims handling management team with long-term, diverse, and international experience.What is covered under the ERGO professional liability insurance contract?
Liability insurance is essentially all-risk insurance, i.e., in the event of an insured event, such reed damage is indemnified that is not excluded. Thus, it is imperative to read the terms and conditions referred to in the contract, especially the exclusions section, as well as the special terms and conditions in the policy, and make sure that the insurance contract meets your expectations and includes the necessary covers for you. The main types of professional liability insurance covers are listed below, including a list of the types of property damage that ERGO generally indemnifies under professional liability insurance.
Professional liability
All of the services that you provide and for which you want to be covered must be listed in the professional liability insurance contract. For example, architects, engineers, notaries, lawyers, auditors, accountants, etc. can insure the damage caused by their mistakes with professional liability.
Professional liability insurance cannot insure damage caused by the general activities of the company, e.g., the liability of the owner or tenant of a building, etc. To this end, please familiarise yourself with professional liability insurance.
Personal injury
Personal injury is the act of causing bodily injury or death to an injured party. The medical expenses of the injured party, damage caused by temporary incapacity for work, damage caused by permanent incapacity for work (partial or total incapacity for work), loss or reduction of dependant maintenance, and funeral expenses are to be indemnified.
Property damage
Property damage is the destruction or physical damage (collapse, breakage, deformation, etc.) of an item belonging to an injured party. In the context of property damage, reasonable and necessary expenses for repairing or replacing the item with an equivalent one will be indemnified.
Damage caused by the non-conformity of an item (e.g., the item is of the wrong size) is not considered to be a loss of property if the item has not been physically destroyed or damaged.
Additional expenses incurred as a result of personal injury and property damage
Additional expenses incurred as a result of personal injury and property damage (consequential financial loss) are, for example, the cost of a taxi ordered to take the victim to the doctor or the cost of renting a replacement space for a company damaged by a fire.
Net financial loss
A net financial loss is considered to be damage that is not preceded by personal injury or property damage, and is not excluded by the insurance terms and conditions. For example, the cost of redevelopment incurred due to a design error is a net financial loss.
Legal assistance and judicial expenses
ERGO will indemnify legal assistance and judicial expenses related to the insured event and agreed in advance with ERGO.
What is covered under the ERGO professional liability insurance contract?
Liability insurance is essentially all-risk insurance, i.e., in the event of an insured event, such reed damage is indemnified that is not excluded. Thus, it is imperative to read the terms and conditions referred to in the contract, especially the exclusions section, as well as the special terms and conditions in the policy, and make sure that the insurance contract meets your expectations and includes the necessary covers for you. The main types of professional liability insurance covers are listed below, including a list of the types of property damage that ERGO generally indemnifies under professional liability insurance.
All of the services that you provide and for which you want to be covered must be listed in the professional liability insurance contract. For example, architects, engineers, notaries, lawyers, auditors, accountants, etc. can insure the damage caused by their mistakes with professional liability.
Professional liability insurance cannot insure damage caused by the general activities of the company, e.g., the liability of the owner or tenant of a building, etc. To this end, please familiarise yourself with professional liability insurance.
Personal injury is the act of causing bodily injury or death to an injured party. The medical expenses of the injured party, damage caused by temporary incapacity for work, damage caused by permanent incapacity for work (partial or total incapacity for work), loss or reduction of dependant maintenance, and funeral expenses are to be indemnified.
Property damage is the destruction or physical damage (collapse, breakage, deformation, etc.) of an item belonging to an injured party. In the context of property damage, reasonable and necessary expenses for repairing or replacing the item with an equivalent one will be indemnified.
Damage caused by the non-conformity of an item (e.g., the item is of the wrong size) is not considered to be a loss of property if the item has not been physically destroyed or damaged.
Additional expenses incurred as a result of personal injury and property damage (consequential financial loss) are, for example, the cost of a taxi ordered to take the victim to the doctor or the cost of renting a replacement space for a company damaged by a fire.
A net financial loss is considered to be damage that is not preceded by personal injury or property damage, and is not excluded by the insurance terms and conditions. For example, the cost of redevelopment incurred due to a design error is a net financial loss.
ERGO will indemnify legal assistance and judicial expenses related to the insured event and agreed in advance with ERGO.
What does ERGO professional liability insurance indemnify as an additional cover?
In professional liability insurance, you can choose different additional covers. It is also possible to agree with ERGO on the omission of some of the exclusions set out in the terms and conditions in order to prepare the insurance cover that is most suitable for you.
Subcontractors
If you want subcontractors to be considered as the insured persons, and ERGO does not file a claim for indemnification of the damage caused by them to the subcontractor who caused the damage, then choose additional cover for subcontractors.
Dangerous objects
The insurance terms and conditions exclude activities with so-called dangerous objects, such as water buildings (bridges, quays, piers, etc.), railways (including rolling stock), aviation (including airplanes, airport facilities), ships (including construction, repairs), power plants, and landfills. A more detailed list is given in the insurance terms and conditions referred to in the contract.
What does ERGO professional liability insurance indemnify as an additional cover?
In professional liability insurance, you can choose different additional covers. It is also possible to agree with ERGO on the omission of some of the exclusions set out in the terms and conditions in order to prepare the insurance cover that is most suitable for you.
If you want subcontractors to be considered as the insured persons, and ERGO does not file a claim for indemnification of the damage caused by them to the subcontractor who caused the damage, then choose additional cover for subcontractors.
The insurance terms and conditions exclude activities with so-called dangerous objects, such as water buildings (bridges, quays, piers, etc.), railways (including rolling stock), aviation (including airplanes, airport facilities), ships (including construction, repairs), power plants, and landfills. A more detailed list is given in the insurance terms and conditions referred to in the contract.
Examples of professional liability insurance insured events
To better understand professional liability insurance, here are some examples of insured events.
Construction engineer
The engineer makes a mistake in the design in the height of the doorway, and the building cannot be used for its intended purpose. The doorway of the building has to be rebuilt. A net financial loss has been incurred, which ERGO indemnifies as an insured event to the extent of the terms and conditions of the insurance contract.
Plumbing designer
The diameter of the stormwater pipes is too small and the stormwater does not go away. The road needs to be rebuilt. There has been a net financial loss.
Designer of building structures
The suspended ceiling of the building is designed with fastenings that are too weak, and it falls down. The property and employees of the tenant of the building are injured. Both personal injury and property damage have occurred.
Accountant
An accounting firm provides accounting services and makes a mistake when calculating payments. The client receives a fine from the tax authority. A net financial loss has been incurred.
Examples of professional liability insurance insured events
To better understand professional liability insurance, here are some examples of insured events.
The engineer makes a mistake in the design in the height of the doorway, and the building cannot be used for its intended purpose. The doorway of the building has to be rebuilt. A net financial loss has been incurred, which ERGO indemnifies as an insured event to the extent of the terms and conditions of the insurance contract.
The diameter of the stormwater pipes is too small and the stormwater does not go away. The road needs to be rebuilt. There has been a net financial loss.
The suspended ceiling of the building is designed with fastenings that are too weak, and it falls down. The property and employees of the tenant of the building are injured. Both personal injury and property damage have occurred.
An accounting firm provides accounting services and makes a mistake when calculating payments. The client receives a fine from the tax authority. A net financial loss has been incurred.
