A Word From Our Sponsor On How Professional Errors and Omissions Can Be Financially Devastating To Your Business

Any professional incurs specific risks that are related to their field of expertise. These specific risks are the purpose for professional liability insurance. An error or omission committed by you, an employee, or a subcontractor can put you at substantial financial risk, even if considered a small or simple mistake. This is because any third party for whom your provide services may choose to file a legal claim against you, claiming financial losses directly resulting from your company’s error or omission.
A claim regarding professional liability must cite negligence in either the failure to perform professional services, or negligent performance of professional services. Legal fees for such a claim can add up rapidly and can easily threaten the viability of your business. This is the reason you should carry professional liability insurance. Such a policy will protect your company, and yourself, from bearing the potentially crushing cost of legal defense and action. Every errors and omissions policy includes very specific limits of liability that include one limit for legal costs, and a separate limit for damage awards, and your business will be full responsible for costs that exceed these limits.
You may assume that such liabilities are already covered in your general liability insurance policy. Understand that they are not. Commercial general liability insurance covers you against claims of bodily harm and property damage, and does not include errors and omissions. Adding a professional liability insurance policy to your commercial insurance portfolio does not cause you to pay for duplicate insurance coverage. It ensures you have the protection your need against unforeseeable professional errors and omissions.