professional liability insurance

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malpractice insurance

A generic term for an insurance policy purchased by health professionals to cover the costs of paying for legal fees and damages that a court of law might award a plaintiff alleging that the covered party committed one or more negligent acts that resulted in some form of tangible (compensable) harm.

professional liability insurance

A type of insurance contract that provides compensation for a person or party injured by a professional's acts or omissions. Two common types of policies are as follows: (1) Claims made. The claim for damages by the injured party must be made during the policy coverage period in order for the professional to be covered and represented by the insurance company. (2) Occurrence basis. The claim for damages by the injured party is covered by the insurance company as long as the act of professional liability occurs during the policy coverage period, even though the claim is filed after the coverage period ends.
References in periodicals archive ?
That's why you need to protect your livelihood with professional liability insurance.
Claims reported to the AICPA Professional Liability Insurance Program were categorized as follows in 2013:
Statistical data contained in this report were provided by CNA, the underwriter of the AICPA Professional Liability Insurance Program.
Many CPA firm managers have begun to question the costs of professional liability insurance and some, particularly small firms, have been unable to justify incurring such an expense.

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