<P> Coverage sometimes provides for the defense costs, including when legal action turns out to be groundless . Coverage does not include criminal prosecution, nor a wide range of potential liabilities under civil law that are not enumerated in the policy, but which may be subject to other forms of insurance . Professional liability insurance is required by law in some areas for certain kinds of professional practice . </P> <P> The primary reason for professional liability coverage is that a typical general liability insurance policy will only respond to a bodily injury, property damage, personal injury or advertising injury claim . Other forms of insurance cover employers, public and product liability . But various professional services and products can give rise to legal claims without causing any of the specific types of harm covered by such policies . Common claims that professional liability insurance covers are negligence, misrepresentation, violation of good faith and fair dealing, and inaccurate advice . Examples: </P> <Ul> <Li> If a software product fails to perform properly, it may not cause physical, personal, or advertising damages, therefore the general liability policy would not be triggered; it may, however, directly cause financial losses which could potentially be attributed to the software developer's misrepresentation of the product capabilities . </Li> <Li> If a custom - designed product fails without causing damage to person or property other than to the subject product itself, a product liability policy may cover consequential damages such as losses from business interruption, but will generally not cover the cost to redesign, repair or replace the failed product itself . Claims for these losses against the manufacturer may be covered by a professional liability policy . </Li> </Ul> <Li> If a software product fails to perform properly, it may not cause physical, personal, or advertising damages, therefore the general liability policy would not be triggered; it may, however, directly cause financial losses which could potentially be attributed to the software developer's misrepresentation of the product capabilities . </Li>

Who is not required to carry professional liability insurance