Does Your Company Need E&O Insurance?
Mistakes can happen in any type of business but can be particularly costly for professionals. Even the most careful companies can occasionally be sued for incidents of neglect or insufficient results. When these types of mistakes happen, a business can quickly become liable and at risk of a major lawsuit.
Errors and omissions (E&O) insurance is designed to protect professional companies in precisely these types of situations. If your company could be at risk, you may want to consider this type of insurance in addition to standard business insurance.
How Does An E&O Policy Protect You?
It is always best to avoid mistakes in the first place, but there are times when you simply can’t prevent them from happening. With an E&O Insurancepolicy, your company can rest in the confidence of knowing that a minor misjudgment will not cost you your entire business.
In most of these policies, the following items are covered in the event of a lawsuit:
*Defense related costs
In short, errors and omissions insurance could be one of the most important protections you could obtain for your company. Speak with an insurance agent to learn more about E&O coverage and how you can secure an E&O policy for your company.