What is the role of the professional liability insurer in a professional negligence claim?

The role of a professional liability insurer in a professional negligence claim (also known as malpractice) in Wisconsin is to provide coverage and resources for the insured in the event of a claim. Professional liability insurance is designed to protect professionals, such as doctors, lawyers, and other professionals, from being held liable for their mistakes or negligence. When a professional negligence claim is filed against an insured, the professional liability insurer will investigate the claim and determine whether there is enough evidence to support a viable claim. In doing so, the insurer may consult with the insured and other third parties in order to determine its potential liability. Once this investigation is complete, the insurer will then decide how to respond to the claim. Depending on the extent and severity of the claim, the insurer may decide to: settle the claim out of court, pay for the legal defense (or part of it) of the insured, or take the case to court. If the insurer decides to settle the claim out of court, the funds used will come from the insurer’s reserves. If the insured is found liable, the insurer will cover the cost of the settlement. If the case goes to court, the insurer will usually provide legal defense for the insured, either in full or partially. In summary, the primary role of a professional liability insurer in Wisconsin is to provide coverage and resources for the insured in the event of a professional negligence claim. The insurer will investigate the claim, decide on how to respond to it, and cover any settlements or legal costs that may arise.

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What is the role of the professional liability insurer in a professional negligence claim?

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