FAQs – CSEP Professional Liability Insurance Program
By: Mary Duggan on Mar 03, 2016
FAQs – CSEP Professional Liability Insurance Program
CSEP has come up with these various frequently asked questions by our members concerning their insurance coverage and liability. Please refer to these FAQs with any questions or concerns you may have. If you do not see your questions covered here, feel free to email us at firstname.lastname@example.org or contact our insurance program broker, BMS Group, at 1-844-517-1370 or email@example.com.
What is the difference between “Professional Liability Insurance” and “Commercial General Liability Insurance”?
Professional Liability insurance (PLI) protects you against liability or allegations of liability for injury or damages that have resulted from a negligent act, error, omission, or malpractice that has arisen out of your professional capacity as a CSEP Certified Personal Trainer® or CSEP Certified Exercise Physiologist®. PLI coverage insures payment of both compensatory damages and legal costs associated with a claim. PLI is a “claims made” policy and responds to claims made during the policy period. This means that the policy in place when a professional liability claim is made will be the policy to respond, regardless of when the incident occurred.
Commercial General Liability (CGL) insurance provides coverage to protect against claims arising from injury or property damage that you (or your business) may cause to another person as a result of your operations and/or premises. For example, a client may slip and fall on a wet floor in your studio or you may accidentally cause property damage to a client’s home during a consultation. CGL is an “occurrence based” policy. This means that the policy in place when the incident occurred is the one to respond, regardless of when the claim is reported.
What is “Professional Liability Insurance for your Business” and do I need this?
In the event of a professional liability claim, both the treating professional and the business are likely to be named in a statement of claim or lawsuit. Professional Liability Insurance for your Business (also known as Legal Entity coverage) protects the business and its assets in such circumstances.
You should purchase this coverage if you have employees working for, or on behalf of, your business and billing under your business name. You should also purchase this coverage if you have an incorporated business, regardless of whether or not you have employees. Coverage limits are shared between yourself and your business name (i.e. a CSEP Certified Personal Trainer® with professional liability coverage and who purchases Professional Liability Insurance for their business would have a shared limit of $3 million/claim and $6 million/policy year to respond to claims made against themself and/or their business name).
If you are purchasing Professional Liability Insurance for your Business, please ensure that all of your health professional employees carry their own individual professional liability insurance. Non-regulated employees of CSEP members are covered while acting within the scope of their duties and while working under the direct supervision of a CSEP member if they are named in a professional liability claim.
Do I have coverage for a Professional Liability claim made against me by a client from the United States (US)?
Yes you do. The same policy coverage is afforded whether you treat Canadian or US clients in Canada. As long as you are practicing within your professional scope of practice, your CSEP professional liability insurance policy will respond to protect you.
Your policy will respond to claims made and defended in Canada or the US. This means that you have coverage to respond to a claim if a US client brings an action against you in either Canada or the US. Please advise BMS Group if more than 25% of your clientele consists of US residents.
Does my CSEP policy cover remote consultation? (for instance, telephone or email consulting, or video instruction for clients)
Yes, as long as you are working within your scope of practice. You should follow the same professional standards, including use of appropriate pre-screening measures and informed consent forms, as with face-to-face interactions.
What is Extended Reporting Period Coverage and why would I need it?
The CSEP professional liability insurance program policy is issued on a “claims-made and reported” basis, meaning that the policy in place at the time that the claim is reported is the policy that will respond.
If you are planning to retire or discontinue practice, it is recommended that you protect yourself against future claims by extending the reporting period of your policy (ie: purchasing Extended Reporting Period Coverage). Extended Reporting Period Coverage is insurance to respond to potential future claims arising from prior incidents and exposures that occurred during your past practice as a CSEP Certified Personal Trainer® or CSEP Certified Exercise Physiologist®.
Your CSEP professional liability insurance policy will automatically extend to cover claims reported after the coverage period for an additional 12 months, provided you have retired or discontinued practice. Depending upon the circumstances of your past practice (e.g. according to the province where you practiced, and whether you worked with minors, etc.), you may wish to extend the reporting period of your professional liability insurance policy beyond 12 months.
To extend the reporting period of your professional liability insurance policy, please contact CSEP at firstname.lastname@example.org or phone 1-877-651-3755.
What is coverage for Additional Insureds and do I need this?
You can add the names of additional parties to your CSEP insurance policy as “Additional Insureds” to provide Commercial General Liability protection to these parties should they be named as co-defendants in an insured legal action made against you.
If you lease or rent space from a business to conduct your work as a CSEP Certified Personal Trainer® or CSEP Certified Exercise Physiologist®, or if you contract your professional services to a business (for example, a fitness centre, community centre, or other), you may be asked by that facility to add their business name to your policy as an “Additional Insured” to protect them against your negligence.
Example of “Additional Insured” coverage in action:
You contract your services to fitness facility X.
The contract requires you to add fitness facility X as an additional insured, which you do. One of your clients trips and falls over a free weight which you have left on the floor and subsequently sues both you and fitness facility X.
Your CSEP insurance would cover fitness facility X as an Additional Insured.
To add a third party to your CSEP insurance policy as an “Additional Insured”, please contact CSEP at email@example.com or phone 1-877-651-3755.
What is Coverage for a Small Gym Facility and do I need this?
This business insurance combines Property, Crime, Business Interruption, and Commercial General Liability Insurance to provide protection for your small gym facility.
If you rent or own commercial space for a small gym, own exercise equipment, or have employees working on behalf of your gym facility you will want to protect your business from financial loss related to commercial general liability, damage to your property and the contents within, and crime.
Coverage is available for gym facilities up to 3,000 sq. ft in size. Please contact BMS Group at 1-844-517-1370 or firstname.lastname@example.org for additional information or to purchase coverage.
Released: March 3, 2016, 10:44 am
| Updated: March 3, 2016, 10:57 am