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Who Needs Professional Liability Coverage

Professional liability coverage is a type of insurance policy that protects business owners from being sued for mistakes while providing services. If a client suffers a financial loss due to a mistake made by the business owner, the insurance will cover legal costs and any awards given to the client. This coverage can help business owners feel more secure and protect them from financial ruin in the event of a lawsuit.

This policy safeguards your business if it is held responsible for mistakes or service errors. If a lawsuit is brought against your business for one of these mistakes or errors, the coverage can help pay for the legal costs and any settlement that may be awarded.

Who should carry this kind of policy? As the name implies, any entrepreneur or professional who runs their own business should have this coverage. But let’s get specific; industries that benefit from this insurance include:


Accountants and tax professionals manage their client’s financial information accurately and effectively. They must provide correct tax filings and financial statements to their clients, as any mistakes can lead to the client taking legal action against the business.

Advertising and Marketing Research Firms

An advertising agency works with customers to enhance its brand and stimulate sales or exposure. A lawsuit may result if a marketing strategy does not generate the desired outcome and produces a financial loss for the client. 

Market research companies provide crucial data to their customers. If their suggestions or assessments are incorrect, customers can use the market research firm to lessen or earn back their losses.

For instance, if the agency’s campaign does not bring about the desired sales increase or the data provided by the marketing research group needs to be updated, the client can take legal action against the agency. Professional liability coverage can minimize or mitigate the penalties by partially or fully paying for them.


Consultants provide customers with professional advice and services to help them achieve their business goals. If their advice does not produce the desired outcome, consultants should have professional liability insurance to protect themselves and their customers.

Graphic Designers

Graphic designers create visuals such as logos, flyers, and websites for clients. However, if a client believes that the designer’s work was responsible for loss in money, they can take legal action against the designer.

Interior Designers

Designers tasked with creating a home that reflects a client’s vision are responsible for ensuring the project is completed on schedule, without any mistakes that could potentially lead to legal repercussions. If there are, however, a professional liability policy can provide partial or full coverage for the penalties or damages incurred.

Real Estate Agents or Firms

Clients rely on their real estate agent or broker to provide sound advice and services in their best interests. If they feel that the agent has not done a good job, they have the right to take legal action against the agency if they have suffered financially.

As We Close, Almost Any Working Professional Can Benefit from This Policy

When clients don’t like a worker’s or firm’s output and decide to sue, professional liability coverage can protect them from heavy losses and penalties. Contact a licensed broker to sign up for your policy today.

Let The Tabb Insurance Agency Cover You

We offer business and commercial insurance options to protect small, mid-size, and large businesses. Our coverage options protect you from various situations and predicaments that may occur. Inquire about professional liability coverage in Conyers, GA, today by calling 770-483-1800.