Eight Professions That Need Malpractice Insurance by newtohr

Eight Professions That Need Malpractice Insurance

Professions and service industries require you to strive to satisfy clients. However, mistakes or negligence can cause unsatisfactory work for which the client can sue you. Therefore, if you own a small or medium business that offers expert services or advice, you need to have malpractice insurance, also known as professional liability insurance.

Real Estate Brokers

Most states require you to get professional liability insurance to receive and maintain a real estate brokerage license. In case of negligence, errors, or omissions in your line of duty, then the client can sue you. Your insurance company will cater to the claim settlement to the limit stated in the policy.

Healthcare Providers

Errors in treatment or medical advice can lead to illnesses, injuries, and in worst cases, death. In addition, the lawsuits against the errors mentioned above can be financially draining. Therefore, the policy protects you from negligence, oversights, and poor advice/incorrect diagnosis.

Transport Operators

Your transport company can offer various services. However, you will need professional liability insurance regardless of the service. The insurance offers protection if you or your workers are responsible for property damage, financial loss, or personal injuries that attract a lawsuit. If your company is new, ensure you protect it against such risks.


Engineers’ liability often arises from missed deadlines, wrong budgets, and delivery delays. For example, if you deliver an important project past the deadline, the client can sue you for negligence. However, the engineers’ insurance will protect your business and other assets.


If you are a consultant, your work involves making strategies for clients and making predictions on projects based on performance metrics. If you miscalculate or give wrong advice that results in financial losses, your client may file a lawsuit against you. Therefore, you need a policy cover to take care of the costs.


You need to draft building designs that comply with construction specifications and local regulations. However, it would be great if you were keen on so many details, and at times, you make mistakes on a detail or two. Malpractice insurance will cater for the legal defense costs in case of a lawsuit from an error you made in the design.


Accountants are prone to making numerous mistakes since they handle large figures. As you crunch numbers for clients, mistakes such as inaccurate data entry or incorrect reporting may arise. You need malpractice insurance to cover the legal fees if a client sues you for a mistake.

IT Consultants

Your client can sue you if you make computer-related errors such as; delivering a software platform that makes the system go down, data breach, delivering software or hardware that does not meet expectations and transmitting a virus to the client during software installation. Again, malpractice insurance comes in handy to care for the damages caused.


Malpractice insurance does not just protect you; it builds your business brand. Some clients require you to have the policy in place before they agree to do business with you. If you are a small business and are not sure whether you need the mentioned insurance, you need to consult or find out from the laws of your state.

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