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Professional Liability Insurance for Sports & Fitness Businesses

Professional Liability Insurance for Sports and Fitness Businesses

Get a quote on Professional Liability Insurance

Trainers, instructors, and many other professionals in the sports and fitness industry use their expertise to provide advice and guidance for their clients. With high physical expectations and an even higher risk of injury, clients may feel dissatisfied with the results of your services or suffer from injuries due to poor instruction. Consider Professional Liability Insurance to financially protect yourself and your business from claims against your advice, instruction, and services.

What is Professional Liability Insurance?

Professional Liability Insurance (also known as Errors and Omissions Insurance) protects individuals and companies from the costs of lawsuits and damages related to their professional advice and services. A dissatisfied client may file a lawsuit against you for work errors, inaccurate advice, or negligence. This is where Professional Liability Insurance comes into play. 

Although general liability insurance covers third-party bodily injury, property damage, personal injury, and advertising injury, other forms of coverage are needed to protect yourself and your business from claims that fall outside of these coverage areas. Professional Liability Insurance fills an important coverage gap by protecting your business against lawsuits for any damages your client experiences due to mistakes, inaccuracies, or perceived failures in your work. 


Why do sports and fitness professionals need Professional Liability Insurance?

Professional Liability Insurance is critical in the sports and fitness industry because professionals are often tasked with pushing clients and students to their physical limits in order to reach fitness goals. Errors in your fitness instruction, exercise advice that leads to injury, and recommendations of flawed nutritional plans can all lead to costly lawsuits. Even if you’ve done nothing wrong, defending against a professional liability lawsuit can put a severe strain on your finances.

Sports and fitness businesses often require clients to sign a liability waiver. While this may decrease liability, it cannot prevent all lawsuits or remove all liability—especially for claims of negligence. As such, it is crucial for businesses in the sports and fitness industry to purchase Professional Liability Insurance. 


What does Professional Liability Insurance cover? 

Professional Liability Insurance can protect you and your business against a number of claims. In the sports and fitness industry some of the most common claims result from: 

Professional Errors and Oversights


Inaccurate Advice


Actual or Alleged Negligence


Failure to Do What Was Promised


Are injuries covered by Professional Liability Insurance?

If a third party (who is not an employee) suffers a bodily injury while on your business premises or in the course of your business operations, costs related to the injury would be covered by commercial general liability insurance. However, injuries specifically caused by your instruction or advice are excluded from general liability insurance. If you are sued because of your professional advice or services, Professional Liability Insurance would cover your legal fees.


What are the key exclusions to Professional Liability Insurance coverage?

There are a number of common exclusions in Professional Liability coverage. Some of the exclusions related to the sports and fitness industry include:

Claims-Made Policies

Professional Liability Insurance is written on a claims-made basis. Unlike occurrence policies, claims-made policies only offer coverage if the claim is made while the insurance policy is active. Without an active policy, you will not be covered for incidents even if the incident occurred when your policy was active. Alternatively, if your claims-made policy is active, you are covered for past incidents even if they occurred before you purchased the policy.


How much does Professional Liability Insurance cost?

AdvisorSmith found that the average cost of Professional Liability Insurance for sports and fitness businesses is $716 per year. This average is based upon sports and fitness businesses with under $500,000 in revenue, with limits of $1 million and a $2,500 deductible.

In order to get an accurate estimate on pricing, it’s best to get a quote from a reputable insurance company. Below we’ve highlighted a few of our trusted partners who offer Professional Liability Insurance:

ProviderProfessional LiabilityErrors & OmissionsGeneral Liability

Final Word 

Even with the best of intentions for your clients, mistakes and oversights are bound to happen. Professionals in the sports and fitness industry are constantly relied on to give advice and instruction, making it imperative to purchase Professional Liability Insurance. Make sure you protect yourself from the financial consequences of claims against your professional advice and services.

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