Every business runs a risk of a malpractice due to human errors. Errors and Omissions, or E&O, as it is commonly called, is an insurance that protects your business should a client hold you responsible for a malpractice or errors. It is known as malpractice insurance for those in the medical field like doctors, chiropractors, or dentists. For lawyers, advocates, accountants, engineers, and the likes, it is called professional insurance.
In the event of a court case by the client, E&O policies cover defense costs, settlement procedure costs, and judgments involved. The policies also cater to court cases where even though the firm is not guilty of any charges, heavy costs are incurred for during the tenure of the case judgment.
Why would I require E & O insurance?This is a question asked by many firms, especially the smaller ones and the answer is pretty simple. Errors happen all the time and there is always a chance that the client may disagree with the end result of a project. This increases the risk of the client suing the firm. Whether you are a small firm or a large conglomerate, your firm’s reputation always stands a chance to be tarnished by the smallest of reasons.
In the event of a court case by the client, E&O policies cover defense costs, settlement procedure costs, and judgments involved. The policies also cater to court cases where even though the firm is not guilty of any charges, heavy costs are incurred for during the tenure of the case judgment.
Why would I require E & O insurance?This is a question asked by many firms, especially the smaller ones and the answer is pretty simple. Errors happen all the time and there is always a chance that the client may disagree with the end result of a project. This increases the risk of the client suing the firm. Whether you are a small firm or a large conglomerate, your firm’s reputation always stands a chance to be tarnished by the smallest of reasons.
Hence, if you belong to any field that involves client servicing like doctors, medical practitioners, dentists, chiropractors, engineers, accountants, architects, lawyers, advocates, web designing company, advertising firm, and so on, you are always exposed to E&O
You can directly visit at http://professional-liability-ins.com/
to find more information.
