Lessons Associated with the Professional Liability Insurance Application
All professionals who maintain professional liability insurance are familiar with the insurance application. When completing the application, professionals must make decisions regarding the type and amount of coverage, and the costs for the premium and deductible. Moreover, the professional must provide information that the insurance company’s underwriter will rely upon to weigh the risks of insuring that professional. Notably, many PL applications request historical information regarding threatened or potential litigation. This question, perhaps more than others, has led to significant coverage issues and presents a risk management concern.