Stuckey & Company Blog

I have been a personal risk consultant for HNW individuals for 23 yrs and am expanding to work in the Prof Liab arena. Any advice??? 
 
Thanks 
Daniel 
818-815-2632

Hi Daniel, 
 
 
 
Thanks for your question. Considering you have worked with high net work clients for 23 years, certainly you understand the value in proper protection from the risks an individual may face. Professional liability is really the same ball game. Really the main concept to remember is that ANY person or entity offering products or services to others for a fee has a certain risk exposure. There are a handful of quality A-rated (and higher) carriers we represent that have a variety of products to address the different hazards out there.  
 
 
 
For example, there are specialty products for many professions such as real estate agents, insurance producers, lawyers, architects, and I.T. professionals that have specific policy language to address the unique exposure concerns they may face, whether it be a mold exposure on a home that was sold, or a design flaw in a residential home project, or perhaps an intellectual property violation in software development. 
 
 
 
The flip side of the specialty products are the ‘miscellaneous’ policies. Most of these are written on a duty-to-defend basis and as long as we underwrite the exposure and provide terms, coverage is there for any service offered, unless clearly excluded. This would be ideal for notaries, animal service providers, management consultants, marketing/advertising firms, employment agencies, etc… 
 
 
 
So to answer your question more specifically about advice, as the selling agent you should simply make sure your client knows that there IS a risk if they are offering ANY service to others for a fee. Litigation in this country is at an all time high, and the finger could be pointed at an insured for anything, even a frivolous accusation where the insured did nothing wrong. These policies will protect the insured for legal defense, and of course provide monetary reimbursement to any client of the insured due to a professional wrongful act. As the agent, if you have a clear understanding of what your client is doing, we can help you place the proper coverage they need through our top markets. Ask them if their business could survive a $400,000 loss. Sounds like a goofy number to many, but considering the legal defense costs, this number can be reached rather quickly in a claim circumstance. Most of our policies have minimum pricing around $1,000. So it is important for the insured to understand the value in the coverage. 
 
 
 
On that thought, certain service providers have certain risks, and that is where Stuckey & Company’s expertise comes in. We can write over 350 class hazards of professional liability and we’d be glad to help you place the proper coverage. Let me know if I can be of any more specific help on a certain risk or class group. 
 
 
 
Kindest regards, 
 
 
 
Christopher “Chip” Boylan 
 
Professional Liability Underwriter