Those involved in secretarial work must juggle multiple responsibilities simultaneously. There is always a risk that something is going to go wrong while handling your client’s paperwork. You may mistakenly mix up the paperwork and send an important document to the wrong person. You may even send vital project details to a client. Would this negatively impact your client’s company? It is difficult to say what will happen and how your client will react.
However, there is a risk that they’ll end up filing a lawsuit against your company. If this happens, you’ll want to use your secretarial services insurance to hire lawyers to defend your company.
Understanding Secretarial Services Insurance
You’ll want to learn more about secretarial services insurance before signing up. Once you’ve learned the basics, you’ll see that this insurance is of paramount importance because it can help you deal with upcoming professional liability lawsuits. With this in mind, you should know that the insurance is professional liability insurance. It aims to protect your company from allegations of professional neglect, oversight, error, and mistakes. You didn’t mean to cause any problems but your misjudgment cost your client thousands. Now, you’re being sued for sending the document to the wrong location.
Using secretarial services insurance is the best way to assemble a team of lawyers and defend your firm.
Using Secretarial Services Insurance
Once you’ve discovered that a lawsuit has been filed against your company, you’ll want to work to remedy this problem immediately. You might be able to reach a settlement with the plaintiff but you might need to fight it out in court. If so, you’ll want to use your secretarial services insurance policy to hire a defense team. This insurance can help you pay for attorneys, administrative fees, court costs, and settlements. You may lose at trial and the judge may order you to pay a judgment to the plaintiff. Without insurance, you might not be able to do so. With secretarial services insurance, you’ll have help paying the judgment.
Secretarial Services Insurance Limits
You cannot serve clients until you’ve signed up for a secretarial services insurance policy. Your insurance policy will have two limits. Both will impact how often you can use your insurance policy. The per occurrence insurance tells you how much you can spend on a single claim. The aggregate insurance covers the entire policy period. If you have a $1 million per occurrence limit, you will receive $1 million for each claim. Then, you’ll have a $3 million aggregate limit. This means you can spend a total of $3 million during the plan’s policy period.
Other Insurance Options For Secretarial Service Providers
Secretarial services insurance is important but you’ll also need other insurances. When working with your professional insurance agent, you should try to learn more about general liability insurance, business contents insurance, business interruption insurance, and cyber insurance. You never know when a storm is going to destroy your building. You can’t tell when your database is going to be compromised by hackers. Don’t wait until it is too late. Work with your agent to build a comprehensive insurance plan to defend your business.
Disability Insurance
You biggest asset in life is your earning ability. If you are unable to work, you will need to rely on either your savings or borrow money to sustain your lifestyle. When these unfortunate circumstances occur, dependents and spouses are also impacted financially and emotionally.
Disability insurance coverage will provide you a monthly income benefit, usually totaling 70% to 80% of your income, when you are unable to work for a period of time due to injury or illness.
Types of disability insurance
- Long-Term Disability Insurance (LTD)
- Short-Term Disability Insurance
- Key Person Disability Insurance
- Self Employed Disability Insurance
- Mortgage Disability Insurance
- Temporary Disability Insurance
- Supplemental Disability Insurance
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FAQ before purchasing liability insurance
- How much professional liability insurance do I need?
- How do I get a liability insurance policy?
- What does professional liability insurance cover?
- What is the difference between claims made & occurrence form of coverage?
- When will I need to be insured?
- What other professions need this type of insurance?
Other useful posts you should also read
- Canadian insurance companies that provide professional liability insurance
- How does the claims process work if I get sued because of my professional services?
- What is the cost of professional liability insurance?
- How do I apply for a professional liability insurance policy?
- How do I qualify for coverage as a professional service provider?
- What is the purpose of getting insured as a professional?
- How long will it take to get an insurance quote for my business?