It’s often called errors and omissions (E&O) insurance or professional indemnity insurance, and is designed specifically for businesses that rely on their expertise to serve clients. Professional liability insurance, also called errors and omissions insurance or E&O insurance, protects small businesses against the costs of client lawsuits over unsatisfactory work. Business professionals typically need professional liability insurance when the risk of their mistake could cost a company, person, or family a lot of money, pain, or suffering. Professional liability coverage is extremely important for professionals and businesses in the service or consulting industry, including attorneys, accountants, consultants, engineers, and other professions.
There are many insurance companies that offer professional liability insurance. First, you will want to find out whether you’re insured under an employer, agency, or institutional policy (and what that coverage includes). Before you purchase professional liability insurance, you should consider a few things. These prices are based on Texas professionals earning $100,000 per year.
Without coverage, you’ll have to pay expensive legal defense costs out of pocket. If someone accuses you or your business thunder empire slots of libel or slander, whether it’s true or not. For example, a client sues your florist shop for errors in the services you provided after you failed to deliver flowers on time for their wedding. If the professional services that you or your company provided result in damage or injury to a client. This coverage is also known as errors and omissions insurance (E&O). If you want to learn more about this policy, you can find additional information in our frequently asked questions about professional liability insurance.
