Errors & Omissions (E&O) insurance, also known as professional liability insurance, is a vital protection for professionals and businesses providing services or expertise. This specialized coverage is designed to shield individuals and companies from the financial consequences of errors, mistakes, or negligence in their professional duties that may lead to financial loss for clients. E&O insurance is particularly relevant for professionals such as consultants, advisors, and service providers who offer expertise or advice. It helps cover legal defense costs, settlements, or judgments that may arise from claims of professional negligence or failure to perform contracted services adequately. In a world where even the most diligent professionals can face legal challenges, E&O insurance provides a safety net, ensuring that businesses can continue their operations without the fear of crippling financial repercussions due to unforeseen professional errors or omissions.
- Covers inadvertent mistakes or failures causing injury to 3rd parties
- Does not include poor judgment or intentional acts