What people need to know about E&O insurance

Oct 17, 2017 : InterWeb Insurance

While many business owners worry about liability and property risk especially in the immediate wake of Hurricanes Harvey and Irma. This insurance is called professional liability insurance, which is often referred to as errors and omissions or malpractice insurance, (E&O).

InterWeb Insurance is your best choice in buying insurance E&O due to its low cost and excellent customer service. Sometimes, wading through the choices is such a chore that many busy professionals are tempted to simply go without insurance. (E&O) insurance, is a special type of coverage that protects your company against claims that a professional service you provided caused your client to suffer financial harm due to mistakes on your part (errors) or because you failed to perform some service (omissions).

E&O insurance can cover the cost of defending your company in a civil lawsuit and certain damages awarded, even if the legal action turns out to be groundless. Professional liability insurance is required by law in some areas for certain kinds of professional practices, especially medical and legal, where it is more commonly called malpractice insurance. This type of protection is not part of your general liability or homeowners insurance.

Coverage does not include criminal prosecution, and there is a wide range of potential liabilities under civil laws that may not be covered unless specifically written into the policy. Common claims that professional liability insurance covers are negligence, misrepresentation, violation of good faith and fair dealing, and inaccurate advice. Some policies could also cover privacy violations.