Errors and omissions (E&O) insurance — also known as Professional Liability insurance — is a subset of a broader category of liability insurance commonly referred to as professional indemnity insurance or professional liability insurance. This type of insurance is designed to protect professionals against liability arising out of actual or alleged negligence in the performance of their professional duties.
If there is a claim, errors and omissions insurance will step in and the insurer will appoint an experienced lawyer to defend you. They will also pay for the cost of your legal defense (lawyers’ fees, court costs, interest payments on the settlement amounts, etc.) on top of the actual settlement or court awarded judgement made against you if you were to be found liable. Most policies will even cover you for fines and penalties imposed by regulatory bodies.
One important caveat here is that once the insurance company steps in, they will be taking charge of your defense. This means the insurance company can choose to settle a claim even if you feel like you’ve done nothing wrong.
Our intuitive, proprietary platform lets you customize your policy with several options for limits, deductibles, and multiple types of insurance coverage. Or you can speak with one of our insurance advisors to determine which coverage and policy you need to best safeguard your practice. They’ll help you sort through all the details and create a package with the protection you need.