It is true that even real estate agents and brokers should have E & O insurance for insurance agents. Any professional can find themselves a defendant in a lawsuit and having errors and omissions coverage is an important part of being able to afford the necessary defense and lost time from work.
Even professionals who are working for another company should consider E & O insurance for insurance agents. The company you work for will likely have some insurance, but it is important to have a policy of your own that will be sure to look after your own interests as opposed to the company’s. This policy will even be valuable if you are ever named as part of a lawsuit that involves others.
It is important to realize that your chances of becoming involved in a lawsuit do not go up just because you have your own insurance policy. The person bringing suit will typically not even know if you have insurance. A claimant may file a lawsuit regardless of whether they think you are insured and this is why it is so important that you have a policy in place prior to any legal action being brought against you.
E & O insurance for insurance agents can be thought of as being similar to a doctor’s malpractice insurance. Regardless of how careful you think you are, there is always a possibility that someone will file a law suit against you. A good policy can help to protect your assets and your reputation.