Professional Insurance
Professional Insurance
What is Professional Liability Insurance?
Professional liability insurance or Errors and Omissions (E&O) is protection for your company against negligent damages related to a professional service.
Risks Covered by Professional Liability Insurance
Small businesses who specialize in providing professional services or giving advice to clients should consider buying professional liability insurance. This type of coverage comes into play when a business owner is sued for negligence due to their work not meeting a client’s expectations. Insurance can also be required by one’s client(s) before entering into a contract (depending on the type of service provided).
Businesses that often choose professional liability insurance include:
Doctors
Dentists
Medical Professionals
Consultants
Attorneys
Engineers
Architects
Counselors
Accountants
Real estate agents
Title Agents
Home Inspectors
Management Consultants
Collection Agencies
Property Consultants
Mortgage Brokers
Accountants
Insurance Agents
Types of coverage
Professional liability insurance may provide protection for small businesses in many different areas:
Alleged or actual negligence – Protects a business against mistakes made when providing professional services, like giving incorrect advice, omitting an important detail, or failing to deliver a service on time.
Defense costs – Provides legal defense when someone reports an error in the company’s actions.
A professional liability policy can also cover lawsuits filed because of services provided in the past and work performed anywhere even outside of one’s home country. It is crucial to note that a general liability policy will not protect against these risks.
Contact us to learn more about the right E&O insurance policy for you.