Professional liability insurance, also called errors and omissions insurance, protects small businesses against the costs of client lawsuits over unsatisfactory work.
An instructional error at your gym, Pilates studio, or other fitness business could result in an injury to one of your clients. To recoup the cost of medical bills, the client could file a lawsuit against your business.
Professional liability insurance for fitness professionals can provide the coverage your business needs to stay afloat while dealing with legal matters. This policy is also called errors and omissions insurance, or E&O. It includes liability coverage related to:
Even if you’re not at fault, an accusation that your fitness session caused an injury could lead to an expensive lawsuit.
For example, a student at your yoga studio could claim that a pose aggravated a back injury, or someone in your Zumba class might suffer a knee injury. For these and similar incidents, the result could be a costly legal battle.
Professional liability insurance can help cover attorney’s fees, settlements, court-ordered judgments, and other costs when someone claims their injury was caused by your advice or technique.
In the sports and fitness industry, broken promises can have a significant impact on your customers. If a client takes you to court over an unfulfilled fitness objective, such as failure to meet a guaranteed weight loss goal, your professional liability insurance policy could help pay for the resulting legal fees.
Clients typically have high expectations when it comes to health and fitness. If your work doesn’t meet their standards, you could be accused of negligence.
Professional liability insurance can help pay for the cost of a lawsuit alleging substandard work. That could include a yoga student who is unsatisfied with the quality of your instruction, or the client of a personal trainer who files a lawsuit because the program doesn’t meet his expectations.
While professional liability insurance covers errors and accusations of negligence, it does not offer complete protection. Other insurance policies to consider include:
General liability insurance: This policy covers expenses related to customer injuries and property damage. It also covers advertising injuries, such as an accusation of slander from a competing business.
Business owner's policy (BOP): This policy bundles general liability coverage with commercial property insurance, often at a lower premium than if the policies were purchased separately.
Workers' compensation insurance: Workers' comp is required by most states for businesses with employees. It helps pay for medical expenses from work-related injuries.
Commercial auto insurance: This policy covers the cost of an accident involving your work vehicle. State laws determine how much auto liability insurance you need.
Cyber liability insurance: This policy helps fitness businesses recover financially from data breaches and cyberattacks. It's recommended for any business that stores customer information.
Are you ready to safeguard your sports and fitness business with professional liability insurance? Complete Insureon’s easy online application today. Once you find the right policy, you can begin coverage in less than 24 hours.