- Health care professionals, including doctors, dentists, and physical therapists.
- Lawyers.
- Architects.
- Engineers.
- Financial professionals, including accountants, stockbrokers, and insurance brokers.
- Graphic designers.
- Content writers.
- Marketing consultants.
- Technology consultants and software developers.
Premiums for claims-made coverage
Professional liability insurance is usually claims-made coverage, which has specific timing requirements for coverage. The window for accepted claims starts with a retroactive date and ends with the expiration of extended reporting.
- The retroactive date predates the policy effective date. It will be specified in policy documents. The insurer will only accept claims related to issues occurring after the retroactive date.
- Extended reporting is a period that follows policy cancellation or expiration. It is commonly 30 or 60 days. The insurer will only accept claims made before the end of extended reporting, no matter when the underlying incident occurred.
The typical cost of claims-made PLI coverage is $500 to $1,000 annually per employee. Larger teams are more expensive to insure because having more employees increases the potential for mistakes. The good news is that professional liability insurance premiums should be tax-deductible for the business.
Premiums also vary by the type of business covered, the business location, coverage limits, and claims history. Architects, engineers, medical professionals, and businesses with a history of professional liability claims tend to pay the most for coverage.