Professional Liability - Errors and Omissions Insurance (E&O)
Professional liability insurance is one form of protection for professionals and for their clients.
Professional, semi-professional and service type work for a fee may place an obligation on the part of the individual to see that the task is properly performed. Any error or omission in the performance of a particular duty may make the individual responsible in damages. Errors and omissions insurance is designed to protect the individual in such a situation.
Coverage will shield personal assets and help maintain a good reputation through the defense of allegations of wrongdoing which might be frivolous or false. For the client who has suffered some damages through the actions of a professional, liability insurance will ensure that there are adequate funds available to make amends for the wrong that has been done. A professional liability policy covers errors, omissions or negligent acts which may arise from the normal or usual duties carried out by the insured.
Errors and Omissions is part of a professional liability insurance policy in most cases. This insurance covers damages caused by mistakes (errors) made by the professional or damages caused by something the professional failed to do (omissions). Regardless of what kind of business you own, customers can claim that something you did on their behalf was done incorrectly, and that this error cost them money or caused them harm in some way.
Errors and Omissions is part of a professional liability insurance policy in most cases. This insurance covers damages caused by mistakes (errors) made by the professional or damages caused by something the professional failed to do (omissions). Regardless of what kind of business you own, customers can claim that something you did on their behalf was done incorrectly, and that this error cost them money or caused them harm in some way.
