Sexual Molestation Is Not Covered Under Commercial Or Professional Liability Of Counseling Centers


Getting insurance for counseling centers, therapists and nurses can be a troublesome procedure because of the dynamics of risk in question and the amount of potential bodily injuries and damages that may come about. Counselors, therapists (occupational, physical or social work) , in addition to nurses may be involved in variety of tasks and activities such as: Administrative, testing room, hospital ward, private clinic, exercise program department, emergency department, asylum, operating room, patient home, classroom, etc.

All types of counselors, therapists, and registry nurses can be offering various services which generally entail  high level of Professionalism and reliability as well as care for patients. As a result of that and other reasons, they need professional liability insurance to protect them in situations where  their negligent acts provoke damages to others. Actions that would be insured for include things such as: Family Planning, Drug, Detoxification, S.T.D., Abortion, Drug Methadone, Alcohol Abuse, Incidental Legal  Counseling, Adoption Screening, Marital Counseling,  Foster Care Screening, Counseling for Sexual Offenders, Crisis Intervention, Domestic Abuses, Occupational Therapy and Rehabilitation, Narcotic Counseling, Hotline Counseling, and many other activities.

Professional Liability Insurance for Counselors, Therapists and Nurses

The most vital criterion that determines the acceptability and insurance rate of this class of business is the size of business. Annual salaries and receipts are vital signs about the size of venture and, consequently, the amount of risk on hand. Larger size operations pay bigger coverage  costs.

Scope of operations is the 2nd most critical element that determines acceptability and insurance costs. Non medical counselor or therapist pay less than emergency room medical staff, for instance. Higher risk activities cost more to cover. For an organization to be connected with multiple activities could make it harder for that organization to  get the needed coverage.  Several questions may be arise in connection with the specifics of the activities of each of these classes.

Types and limits of insurance are also important factors in forging eligibility and insurance rates. Rates for limits of $300,000 each occurrence are lower than that of $1,0000,000 each occurrence. Also, professional liability insurance is often sold on the basis of ‘claims made’, meaning that insurance will cover any claims based on when it was discovered and reported, not based on when the professional incident took place in the past.

Since sexual molestation is a crime that is not an accident, and is excluded from professional and general liability, additional coverage is recommended if sexual molestation is a potential risk. Coverage may be secured but at an extra premiums. If sexual molestation coverage is needed the insured must demonstrate that extreme care is practiced when employing workers who work with  mentally or physically challenged patients or little children.

The practical experience of the organization, health and professional backgrounds and certification of the crews are all main factors, specifically for newer businesses. Connections with professional organizations represent higher degree of professionalism. Previous losses may play a detrimental factor in purchasing new coverage.

Along with the professional liability insurance that is required by all counselors, therapists, and registry nurses, these entities may need the following traditional coverages:

1. Commercial General Liability for their business and premises.
2. Business Auto Insurance to cover their business autos. Additional care is necessary here if transportation of patients is involved. Transporting patients requires special insurance and is not the same as regular private insurance.
3. Workers Compensation.
4. Business Property and Building. This include building coverage if the building is owned by the insured, and business personal property of the customer.
5. Umbrella/ Excess Liability is recommended especially for larger organizations.

An experienced independent insurance broker may be helpful in getting the best comprehensive quotes for a business. Larger size businesses require extreme care to the amount and type of insurance.

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