A public entity is another term used to describe public officials who work in an office of which they are elected or appointed. Ultimatelty, public officials serve an essential purpose in their communities. In addition to their responsibility to advocate for constituents and invest in the public’s interests, public officials are uniquely capable of solving problems and improving their communities. Unfortunately, people in these positions do not always act with integrity, and liability may emerge.

Establishing a Definition for Public Entity

Learn about the definition of a public official and see why public officials liability insurance is essential.

Who Needs Public Officials Liability Insurance

Public entity is a word often used interchangeably with the phrase public official; in most cases, they mean the same thing. Additionally, a public official or entity is a person who holds office as an appointed or elected official. They often draw a salary from the governing jurisdiction and maintain leadership in overseeing legislation. Therefore, anybody in this position needs public officers liability insurance.

Defining Characteristics of a Public Official

A few other defining characteristics may clarify the public entity insurance definition. Public entity insurance is necessary for any person who acts in an official role in the local, state, or federal government. In addition to handling legislative matters, a public official may oversee administrative or judicial processes and serve as a leader in any of these contexts. No matter what role an official adopts, they must adhere to stringent standards of integrity, conduct, and all applicable laws.

Why Insurance Is Important for Public Officials

Public officials liability insurance is vital for many reasons. Regardless, even if a public official acts in good faith and maintains high moral standards, a person in this position will naturally be vulnerable to allegations of wrongdoing. It is especially true in a politically divided region where accusations may emerge from an official’s political opponents. Therefore, an insurance policy addressing this possibility can shield a public official from the fallout and minimize future financial consequences. Coverage may also include the cost of legal expenses and settlement payouts.

How Public Officials Can Minimize Liability

Liability is par for the course regarding life as a public official. However, that doesn’t mean these leaders cannot minimize their risk. On the contrary, there are many steps that a public official can take to reduce the likelihood of unfair and untrue allegations. Many accusations leveraged against officials have to do with financial management, so public entities can prevent this by maintaining absolute transparency regarding all financial dealings, including campaign donations and spending.

Offering Your Clients Public Officials Liability Insurance

As an insurer partnering with public officials, you can help your clients by providing them peace of mind. Public officials liability insurance is the best way to do this and protect your clients from the risks of their job. No matter which side of the aisle you’re on, you know that public officials must be able to perform their duties without worrying about the consequences of false allegations. A comprehensive liability insurance policy can grant them this freedom.

About PGUI

Professional Governmental Underwriters, LLC., is a full-service risk management company dedicated to assisting public, educational and non-profit entities in the management of their professional liability exposures including educators liability insurance. We are dedicated to providing state-of-the-art professional underwriting management and loss control advisory services on behalf of our designated carriers. For more information, call us toll-free at (800) 586-6502.