FAQ: What is E&O Insurance?

Here is an excerpt from a new blog post at GreggMarcus.com:

Errors and omissions coverage (also known as E&O Insurance) is a professional liability insurance that protects firms that offer advice or services. The policy covers the insured against any claims from a client who claims they suffered monetary loss or the policyholder didn’t perform due to negligence. General insurance companies often omit this particular coverage from their standard plans and it must be purchased separately. In this blog post, Gregg S. Marcus, a Long Island Insurance Executive discusses E&O insurance in further detail.

Many times people confuse E&O Insurance with Malpractice Insurance, which Is linked to professional liability in the medical field. An Errors and Omissions policy is required in the legal, financial industries and well as for construction and maintenance contractors and professionals working within the transportation industry. This is often due to the elevated exposure to failure to perform lawsuits. It is also suggested to have E&O insurance if you provide any type of professional service or regularly give advice to clients. It is important to make sure your E&O insurance policy covers not only full-time employees but also outside employees or contractors as well.

To read this post in it's entirety, click here to visit the Gregg Marcus official website.