General Liability Versus Professional Liability: What’s the Difference?
When it comes to selling insurance, you don’t want to be “a jack of all trades, master of none” as the saying goes.
Instead, it might be wise to look into focusing on offering specialized coverage to a particular niche market, industry, or consider offering an exclusive product type.
While it might seem daunting to abandon your role as a generalist and step into the unfamiliar territory of niche insurance sales, there are plenty of reasons to jump right in.
But hold on, you might be wondering: What’s the difference between general liability insurance and professional liability insurance?
It all boils down to the type of risk being covered.
General Liability Insurance
General liability insurance refers to:
- Coverage of physical risks and,
- Offers protection to the insured against financial loss,
- As a result of negligence, which results in property damage or bodily harm.
Professional Liability Insurance
Professional liability insurance refers to:
- Coverage of abstract risks and,
- Protects the insurance holder against financial loss,
- In the event that an error or omission causes financial loss, to the claimant.
Reasons To Sell Niche Professional Liability Insurance
Now that you have a better understanding of the ‘what’, let’s get on to the “why” of selling niche professional liability insurance.
Greater Earning Potential
Niche insurance agents have the potential to earn a lot more money than run-of-the-mill insurance brokers by focusing on offering more value to specialized clientele.
Why?
We’ve all experienced the challenges associated with selling insurance.
Selling an intangible product is hard. Many people see very little value in purchasing insurance.
If you are able to identify a target market and can pitch a solution to their unique problem, you have the opportunity to excel.
The higher the perceived value of what you are offering, the more likely you are to attract customers that are willing to pay more for your services.
Less Competition
Invest enough time and effort into building a reputation of expertise within your chosen niche and you could become the go-to guy within your industry.
Because niche professional liability insurance emerged not too long ago, you will encounter fewer competitors than a generalist competing in a saturated market of fellow generalists.
Are You Ready To Offer Specialty Solutions To Meet Niche Client Needs?
Why not have a look at the portfolio of niche professional liability insurance programs offered by DOXA Insurance Holdings?
Or Contact Us for more information.
