Do you own a professional services business? This includes engineers, printers, accountants, CPA, architects and software developers. What happens if you make a mistake that results in a financial loss for your clients? Besides feeling bad about the situation, you may be liable for damages. Since there’s no bodily injury and no property damage took place, it’s not covered by general liability insurance. Property insurance won’t help you in this scenario either. As part of your commercial insurance coverage in Spartanburg, SC, you may wish to consider professional liability, also called errors and omissions insurance.
What Is Errors and Omissions Insurance?
Your Insurance Group representative can help you understand how professional liability insurance can protect you from errors and omissions. This brand of liability insurance prevents you from paying the full cost of a negligence claim, which can result in court costs and damage awards if a civil lawsuit ensues.
Errors and omissions insurance covers alleged failure to perform when a financial loss results from mistakes in your service product. Some legal actions aren’t covered by E&O, so it’s best to consult with your insurance agent on how to protect your business and to understand what’s covered by any insurance you purchase. Professional liability insurance sometimes takes on other names in varying professions and may be required under contract by some businesses and individuals.
Who Needs Errors and Omissions Insurance?
Not every business requires errors and omissions insurance. However, if yours provides services for a fee, you may want to learn more. If you are considering E&O insurance for your Spartanburg, SC business, contact Allsurance Group today for the straight facts or make an appointment to obtain a quote.