Despite what some accountants think, not all professional liability policies are created equal. The best policies cast a wide net of coverage at the best value with a trusted insurance provider.
Then some policies are excellent. How? Policies that stand out provide high levels of service and benefits like risk management and education to invest in its policyholders.
No matter what type of services you offer, you must guard against professional risks. A professional liability policy will protect you from professional negligence charges, real or alleged omissions, and claims of breach of duty and misleading statements.
Professional accountant policies protect you from claims resulting from the performance your professional service provides. Your specific areas of practice will help determine the details of your professional policy and coverage.
Let’s take a look at how you can get the most out of an insurance policy.
1. Select an A-rated carrier
What does an A-rated carrier mean? It means the insurance company has the highest level of creditworthiness, which will give you peace of mind if a claim arises.
2. Education is important — select the right company
You want an insurance company that cares about its policyholders. It needs to take a proactive approach with claims. Insurance companies that are forward-thinking educate their clients on risk management principals. Find a company that values educational opportunities.
What are some examples of “extras”?
- Free ethics courses
- Educational webinars that matter to CPAs
- Articles about accounting trends
- Risk management and loss control courses
3. Claim intervention methods
Early claim intervention is the hallmark of any excellent professional insurance policy. An insurance carrier should provide tools to use before or early in the claims process.
A great policy may offer a free hotline. CPAs or accounting professionals can speak to accountant claims professionals to discuss or ask questions about potential claims or ethical dilemmas. A service like a hotline is invaluable, especially in a small or solo practice where it’s vital to have a risk management professional share perspective. It also can help protect your practice.
4. Additional resources make a difference
Ample resources are another must-have for a top insurance provider. Policies that offer online tools design to help your firm’s overall risk management strategy will help protect your firm’s future.
Offering engagement letters is a useful risk management tool, as well as including data and statistics about your areas in your profession. The more you know about professional claims and common pitfalls, the healthier your risk management plan.
5. Thorough claims handling process
Even with the best risk management strategies, claims still can’t be avoided. When you’re dealing with a professional claim, you’ll need the support of the best professional insurance experts.
Does your insurance partner offer a claims triage system? When a claim arises, an established protocol must be followed by an insurer. This is the claims triage system. It’s the first response to your claim or potential claim. The system will assess an incident, subpoena, or claim to determine the nature and facts surrounding the event.
Most importantly, the claims triage process will give you the reassurance that you can rely on your insurance carrier. They will be there with the expertise you need.
Need the perfect solution? McGowanPRO can help
The best and most effective professional policies combine ample risk management resources and effective claim responses. Our team specializes in providing Professional Liability Insurance / Errors & Omissions (E&O) on a national basis. Check us out.