What is E&O Insurance?
The all-too-common situation, where the client will file a lawsuit for negligence, inadequate work or failure to perform as promised in a contract. An error discovered in the course of doing business that results in a claim. A consultant causes financial loss to a business due to an incorrect calculation…
While at times overlooked, this coverage provides valuable protection to businesses as well as individual professional employees. Errors and Omission (E&O) Insurance, often referred to as Professional Liability, would cover the threat of Medical Malpractice made by patients against individual physicians, nurses and other medical personnel. Nursing homes, rehabilitation facilities and home-health agencies are among the top to purchase this coverage on account of their entities and staff. E&O would also cover attorneys, accountants and other professional workers within the scope of their duties, in the event of a claim made by their client. Financial Planners, Brokers, Real Estate Agents, Business Consultants, Technology & Computer Consultants, and Registered Investors are just some of the other categories of businesses that should obtain Errors and Omission Coverage to be fully protected. In general, seriously consider purchasing E&O Coverage if your business provides a professional service, or regularly gives advice. It is available for purchase as a group or on an individual basis and therefore is geared for each situation separately.
What does an E&O policy cover?
Although allegations are often baseless, the legal fees and defense cost involved can run to be quite costly. Most E&O policies will pay for those court fees incurred and any resulting judgments up to the policy limit, while others exclude punitive damages. Some policies come with the enhanced security where the defense costs is set as an aside or extra limit, while other companies will have a clause in the policy that states that defense costs will not erode the limit of insurance altogether. Since the wording and form used can vary extensively from policy to policy it is incumbent upon the insurance broker and the professional to work together to fully understand the occupation and all risks involved. The cost of E&O Insurance will differ depending on the type of business, location, claims history, business experience and will fluctuate from company to company, according to their rates.
How to get an E & O insurance quote?
At P&G Brokerage our staff is well versed in all aspects of Errors and Omissions Insurance Policies, and will therefore make sure to place your coverage with top rated insurance companies. These carriers have designed programs specifically created for the professional business type and requirements that you entertain. Don’t take a risk…the best time to start your coverage is now! Even if you do have an E&O Policy in place for years, give us a call or get an online quote, to find out how you can better protect yourself, at a lower cost.
|
