There are many insurance policies out there to insure the many problems you have in running a business. E & o insurance covers a business, as well as a person, in the situation where a customer blames them for something they failed to provide, supplied or did not give the promised result. This type of insurance is vital to every type of business because mistakes will never stop happening. A mistake that causes financial harm to another can occur in almost any dealing with many professions.
Many doctors, dentists accountants, engineers obtain this insurance. Should you be providing the public with some kind of service, you should obtain e & o insurance. While the severity and results vary, no business wants to lose money over these mistakes.
Even if you are confident in the job that you are doing, consider that you are not working alone. Human error can be very costly to your business. Civil suits and lawsuits can be brought against you, that person and your company for their mistake. The average business can not cover all the costs that come with a suit. Many construction and builders need this insurance because one small mistake can mean millions of dollars in repairs and restitution. Most e & o insurance policies cover judgments, settlements, and court costs. It’s important to meet with a knowledgeable business insurance representative about how much coverage you will need.