When it comes to protecting your business, understanding the difference between general liability insurance and professional liability insurance is crucial. Both types of coverage serve distinct purposes, and knowing which one, or both, you need can make all the difference for businesses in Columbus, OH. Let’s break down the key differences and how they apply to your business.
What Is General Liability Insurance?
General liability insurance is designed to protect businesses from claims involving bodily injury, property damage, or advertising injury. For example, if a customer slips and falls in your store or your business accidentally damages a client’s property, general liability insurance can cover legal fees, medical expenses, and settlement costs. Ferrell Agency recommends this coverage for Columbus businesses that interact with customers or operate in physical spaces.
What Is Professional Liability Insurance?
Professional liability insurance, also known as errors and omissions (E&O) insurance, covers claims related to mistakes or negligence in professional services. For instance, if a consultant provides incorrect advice that leads to financial losses for a client, professional liability insurance can help cover the resulting legal costs. This type of coverage is essential for businesses in Columbus that offer specialized services, such as accountants, lawyers, or marketing agencies.
Do You Need Both Types of Coverage?
Many businesses benefit from having both general liability and professional liability insurance. For example, a construction company in Columbus may need general liability insurance to cover accidents on-site, as well as professional liability insurance to protect against claims related to design errors or project mismanagement. Ferrell Agency can help you assess your risks and determine the right combination of coverage for your business.
Protecting your business starts with understanding your insurance needs. If you’re unsure which type of liability coverage is right for you, visit Ferrell Agency for expert advice tailored to Columbus, OH businesses.
