Professional Liability Insurance is specialty insurance designed to cover fitness professionals charging a fee for services such as guidance, training, instruction, counseling, etc. in a professional capacity. Just as Auto, Home or Health Insurance provides the financial means to recover from unexpected circumstances on a personal level, Professional Liability Insurance provides financial security to practicing Fitness Professionals on a professional level. It provides coverage for the cost of legal fees to defend you, judgments or settlements (including lawsuits against you) and reimbursement for lost wages due to time spent defending a covered claim.

Before making a buying decision, however, it’s important to understand what coverage is afforded under an insurance policy so we’ve outlined below the coverage provided by the Lockton Fitness Professional Liability Insurance policy. While it’s not a complete account of every policy detail, it is a great place to start to gain a better understanding of the coverage and acquire the tools you’ll need to make an informed buying decision.

About the Lockton Fitness Policy

Claims Made Coverage – coverage is provided on a Claims Made basis for the professional services you render to clients, protecting you against incidents that are reported on or after your coverage’s retroactive date (also known as the prior acts date), which is typically the date your original Professional Liability Insurance policy began. As long as you have continuously renewed Claims Made coverage, you may report claims for incidents that occurred in previous years, back to your prior acts date. Read more about Claims Made coverage.

Effective Date, Application & Licensure – coverage becomes effective on the date the completed application is formally approved and premium payment is received. All applicants must meet appropriate licensure or certification requirements (based on their state’s statutes) in their chosen class of business.

Limits of Liability – a wide range of limits are available to fit the exposures you face in your job. The limits you choose should match the size and scope of your practice, and should take into account your potential liabilities. Limits range from $250,000/$500,000 (Limit Per Claim/Annual Aggregate Limit) up to $2,000,000/$4,000,000.

Deductible for Individuals – individual certificate holders are subject to a $1,000 or $2,500 deductible for each loss, based on the rating category for your specific occupation.

Coverage is Portable – you’re covered no matter where you provide professional fitness services. It covers you for the work you do during the course of your employment and for any fitness services you provide outside of your employment.

Certificates of Insurance – you won’t pay an additional charge for Certificates of Insurance (your tool for providing evidence of insurance to others).

Additional Insureds – you have the option to add qualifying entities or individuals to your policy as Additional Insureds.

Extended Claims Reporting Period Option (“Tail Coverage”) – when coverage under the policy ends, whether cancelled (for other than non payment of premium) or not renewed by you, or by us, you have the option to purchase a 12, 24 or 36-month reporting period endorsement within 30 days from the date of cancellation or non-renewal for an additional premium charge. This “tail” coverage essentially extends the period of time for which for claims ,as a result of acts occurring during the policy period, can be reported against the policy. If “tail” coverage is not purchased, claims reported after the policy expires are not covered.

Coverage Provided Under the Lockton Fitness Policy*

Defense and Settlement Cost Coverage – covers damages (a judgment or settlement to the injured party), legal fees and court costs, up to the policy limits, that the Insured becomes legally responsible to pay for claims for Professional Liability or General Liability .

Medical Expenses – covers the medical expenses associated with the bodily injury of another person resulting from an accident, regardless of whose fault the accident is, so long as the accident occurred on premises that are owned or rented by the Insured, or as a result of the Insured’s operations. Payment will be made for the following: first-aid administered at the time of the accident; necessary medical, surgical, x-ray and dental services, including prosthetic devices because of the accident; and necessary ambulance, hospital, professional nursing or funeral services because of the accident. The injured person must submit to a physical examination at the insurance company’s discretion, also to be paid for by the insurance company.

General Liability – coverage for damages and expenses the Insured is responsible for paying that stem from claims of Personal Injury, Property Damages or Advertising Liability caused by an accident, up to the policy limits.

Fire and Water Damage Legal Liability – coverage for damages and expenses for claims of damage to the premises in which the Insured conducts business – whether rented or temporarily occupied – due to fire, or water damage. Coverage does not apply for claims involving First Party Property Damage or Property Damage to personal property.

Host Liquor Liability – coverage for damages and expenses arising from the serving of alcoholic beverages at functions incidental to the insured’s professional services, so long as the Insured is not engaged in the business of manufacturing, distributing, selling or serving alcoholic beverages.

To help you further understand the benefits, and the necessity, of purchasing Professional Liability Insurance as a Fitness Professional, you can read more by accessing the following articles on our site:

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For additional information about Professional Liability Insurance and the policy offered for Fitness Professionals by Lockton Fitness, check out our Q&A page or contact our Customer Service Team.

Please Note:

This coverage overview is provided for illustrative purposes only. Refer to the Master Policy wording for a complete description of all policy terms and conditions. The determination of coverage at the time a claim is made is dependant upon the Master Policy wording and the nature of the claim presented.