Can my firm increase the limits of liability on our Professional Liability policy?
If your firm has a contract requirement for a higher limit or if your firm has increased the amount and types of projects, then you may want or need to increase your limits of liability on the Professional Liability policy.
Insurance companies may need additional information if a higher limit is requested by your firm. They may request information about the project such as services provided, project type, billings associated with the project and a copy of the contract for the project. If it is not for a project the insurance company may ask why your firm wants to increase the limits. There are occasions when the company may not ask for additional information if the underwriter determines the requests is within reason for a firm your size.
There are a few items to keep in mind when increasing your limits on your Professional Liability policy. If you increase the limits mid-term the limits your firm had when you were working on projects prior to the increase will be covered at the lower limits. If the project was after the increased limits it will be under the higher limits. Also, there are occasions when you may have a project endorsement for a higher limit. The higher limits for the specific project will be higher limits for that project only, not your firms other projects. However, if you do not have a project endorsement and increase the overall limits of your firms policy this will cover all projects going forward at the higher limit.
There are several factors to consider when increasing your limits on your Professional Liability policy. If you do have questions please call or email your Professional Underwriters agent.