Error and omissions insurance is a protection against a wide variety of mistakes and issues. Just like people who live in areas where natural disasters are common, business owners should recognize the importance of planning for the unexpected. Error and omissions insurance is a safety net of sorts that can protect not only the life of a business, but also its financial health and customer relations.
Lawsuits are drafted every day due to human imperfection when drafting important legal documents. Whether it is a phrase that provided misinformation or a clause that designates monies to the wrong party, the company responsible for drawing up such documents must have a plan for rectifying such situations. By having a plan in place they will be able to potentially save money and keep their loyal customers and good reputation. An error and omissions insurance policy is the plan that will provide businesses with credible coverage in such situations.
Most doctors know the importance of have malpractice insurance, but there is also a type of error and omissions insurance that is specific to the needs of all those in the medical profession. Other types of error and omissions insurance policies are tailored to different industries, including but not limited to the following: accountants, consultants, insurance agents, lawyers, and contractors. If you are in a professional that provides services for others, you need the protection that an error and omissions insurance policy provides. That way you will be covered when a minute detail that was overlooked or misunderstood comes back to haunt you and incur possible financial ruin or decrease in credibility and clients.
If you have an error and omissions insurance policy, you can be assure that you are protected. You will still make mistakes; that is just human nature, but having a plan can mean the difference between staying in business or not. Contact a professional insurance agent today to help you choose the right policy for you.