Professional Liability – E&O (Error and Omission)
You can call Error and Omission insurance and a type of professional liability insurance. Along with the help of this insurance policy, you will be able to provide protection to the workers, companies, and other professionals for claims that are associated with negligence actions or inadequate work.
Humans make errors. However, the errors and omissions done by the people who work for your business might end up leading you to lawsuits. Or else, you will be forced to go ahead with settlements. This is where the Errors and Omissions Insurance would help you. It can act as liability insurance and provide protection to your business at all times.
What can you get along with Errors and Omissions Insurance?
When you are working as a lawyer, insurance agent, financial adviser, or consultant, you should be careful not to make any mistakes with the services that you offer. However, this will not be something that you can do at all times. That’s because you might make mistakes with what you do due to human nature. This is where an Errors and Omissions Insurance policy can benefit you.
For example, assume that one of your clients loses a court case because of incorrect information you provided as a lawyer. In such a situation, the Errors and Omissions Insurance policy would be able to help you with covering up the claim that the client would bring to you, by knowing the mistake you did.
As an employer, you are responsible for what your workers are delivering to the clients. If they cause any mistakes, you will need to be liable for them. This is where the Errors and Omissions Insurance can help you. However, it is also important to get your hands on the right Errors and Omissions Insurance policy. For example, some of the Errors and Omissions Insurance policies would not provide coverage for the temporary employees who work for your company.
Who should get Errors and Omissions Insurance?
If you are working on a business where the errors that you cause can create a significant impact on the life of another person, you should go ahead and get an Errors and Omissions Insurance policy. The Errors and Omissions Insurance policies are quite popular among financial planners, registered investment advisers, insurance dealers, insurance brokers, and lawyers. Even if you own a business that has maintenance contractors, you should get Errors and Omissions Insurance. On the other hand, Errors and Omissions Insurance policies are highly in demand among medical professionals including dentists and doctors.