General liability vs professional liability insurance. Know the difference.

20, Mar, 2020

One of the most common insurance questions we hear from professionals is about the difference between general (CGL) and professional liability insurance. Some of the questions we get often are; Is one better than the other? When it comes to general liability vs. professional liability, what exactly separates them, and which do you need?

While individuals and business owners make their own judgement, here are some helpful points:

How are they the same?

Both coverages protect you and your business against business liabilities - A single lawsuit could cripple your business. General liability and professional liability insurance policies are designed to help mitigate the financial burdens of such incidents.

  • Covers third party damage. Neither of these policies cover damages to the insured (Policy buyer) or the property insured on the policy.
  • Insures non intentional damage. Any intentional acts will not be covered, policies only cover accidental damage.
  • Coverage defined by “coverage territory”.

How are they different?

The main difference between general liability and professional liability insurance policies is the types of risk they cover.

  • General liability protects against physical injury to people or damage to property arising from your business operations.
  • Professional liability covers negligence related to professional services or advice. It’s generally related to financial loss vs physical injury or damages.
General Liability Professional Liability
  • Physical in nature
  • Financial in nature
  • Protects against:  Bodily injuries
  • Protects against: Professional Negligence
  • Protects against:  Property damage
  • Protects against: Bad advice
  • Insures: Completed operations
  • Insures: Errors and omissions
  • Insures: Personal injuries
  • Insures: Failed performance

Safeguard yourself and your business against liability claims today. If you’re buying a small business insurance policy from a company, you’ll want to clarify exactly what your policy covers, and what it doesn’t. The best way to manage your risk and reduce your exposure is by knowing that even if an unfortunate event occurs, you and your business are protected.

Accessing the unique needs of technologists and the professional exposure associated with the industry we have designed the Technologists Office Protection Program and the Technologists Professional Liability Program.

The Technologists Office Protection Program

Designed specifically for Technologists, closely with ASET, the Technologists Office Protection Program (TOPP) provides comprehensive coverage in the event of damage plus a number of value-added coverages including:

  • Cyber risk
  • Damage to computers and electronic media
  • Loss or damage to valuable documents
  • Crime coverage including fraud
  • Employee theft
  • Umbrella coverage bodily injury, property damage, personal and advertising injury

Whether your firm rents office space or owns it own building, it's vital to have protection against possible damage to business property, as well as many other risks.

With the Office protection program, you and your business have 360° coverage. To see how the Technologists Office Protection Program can give you and your business comprehensive coverage that is designed to fit your needs CLICK HERE. If you are interested in the ASET Professional Liability Insurance Program CLICK HERE.

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