Running your own business is often a gamble. According to recent statistics, a large number of new companies will go under within five years. This number is increased dramatically when a business fails to take out proper insurance. Many business owners neglect to look over pertinent details related to their plans and miss out on crucial points of the policy. Understanding the differences between insurance D&O E&O and EPLI, for example, is vital for selecting the most appropriate coverage for your needs.
Key Coverage Differences
The experts at Transparity Insurance have reported that D&O, E&O and EPLI coverages offer unique benefits to employers based on critical factors. Errors and omissions coverage usually protects a business’s products or services in the event of a simple clerical error or similar exclusion. Directors and officers insurance, on the other hand, is meant to protect management in similar scenarios against employee retaliation. EPLI covers several areas including:
- Discriminatory practices
- Sexual harassment
- Emotional distress
Secure Your Assets
By taking the time to look into each coverage option, you are going the extra mile to protect your company and its assets. All it takes is one incident while under the wrong policy and you could be looking at astronomical financial repercussions that are difficult to recover from. Explore the choices available to you to keep your assets secure well into the future.