Discuss the General Liability Insurance Vs Professional Liability Insurance. What are the businesses and individuals benefitted by subscribing to a professional indemnity insurance policy ?

Answer 4(b) General Liability Insurance , like its name suggests, covers business from a few "general" lawsuits that any business could face. In a nutshell, it kicks in when a third party (i.e., anyone who doesn't work for a company) sues business over. Bodily injuries they incurred on commercial premises. Damage caused to their property. Advertising injuries (e.g., slander, libel, misappropriation, and copyright infringement). General Liability Insurance pays for legal expenses (lawyers' fees, court costs, and settlements or judgments). Again, any small-business owner, no matter their industry or the size of their business, can face these claims. That's why many consider this policy to be the keystone of a business protection plan. Professional Liability Insurance (aka "Errors and Omissions Insurance" or "Malpractice Insurance") also lives up to its moniker. Its coverage focuses specifically on the lawsuits that stem from professional services. Though this policy is especially important for service providers to carry, most small-business owners can benefit from its coverage. That's because Professional Liability Insurance shields from third-party lawsuits alleging. Providing negligent professional services. Failing to uphold contractual promises. Providing incomplete or shoddy work. Making mistakes or omissions. These torts are among the most expensive any business owner can face. Professionals don't have to be at fault to be sued, either. All it takes is one unhappy client to name such business in a lawsuit to try to recoup the "losses" they incurred because of work. The Professional Liability policy ensures that the professional won't be on the hook for legal expenses, regardless of whether the claim holds water.