Errors & Omissions Insurance coverage is a form of specialty business insurance that can be tailored to suit your specific business. This type of policy provides a special type of liability coverage that best suits the industry and employees of your business. In most cases, Errors & Omissions coverage can be tailored to cover the risks and exposures that your particular business can face.
If you own a Real Estate business E&O insurance can protect you from client claims when they are dissatisfied with the sale, when a buyer finds issues with a property that were not disclosed, conflicts of interest, or a seller believes that the value wasn’t fair. If you face these issues, then it is extremely important for you to have Errors & Omissions coverage along with your business insurance. Errors & Omissions insurance that protects you from just that: errors and omissions caused by your employees. This type of policy covers most costs and claims that may occur because of errors caused by employees, failure to complete/perform work promised within a contract, etc. It’s important to consider all the risks to your business and all possible errors, omissions, and mistakes that can be made by professionals in your field.
A company that chooses not to purchase E&O coverage is taking a serious financial risk. These types of losses are not covered under a general liability policy, and even if you aren’t at fault, litigation is both time-consuming and expensive. As with any insurance, the best time to buy an E&O policy is before the risk is taken. Customers will also feel secure knowing that if an error occurs, they will be compensated.
If you’re in any business where you provide a service to a client for a fee, you’re subject to E&O exposure. Even with the best employees and the best risk management, there is room for human error.
For more information on obtaining an Realtor Insurance contact, Kerrigan, O’Malley & Bailey Insurance Agency at 978-365-2302 or fill out our online form above for your FREE Realtor Insurance Quote today.