Errors and Omissions Insurance
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What is a Professional liability insurance?

Professional liability insurance (PLI), also called professional indemnity insurance (PII) but more commonly known as errors & omissions (E&O) in the US, is a form of liability insurance that helps protect professional advice- and service-providing individuals and companies from bearing the full cost of defending against a negligence claim made by a client, and damages awarded in such a civil lawsuit. The coverage focuses on alleged failure to perform on the part of, financial loss caused by, and error or omission in the service or product sold by the policyholder.

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Errors & Omissions Insurance Basics

When you understand the errors & omissions insurance basics it can help you protect your company in the event of losses associated with a customer lawsuit. Due to a considerable increase in customer lawsuits, many business owners have chosen to safeguard their assets with E&O insurance.

Typically, errors and omissions insurance is used by professionals and business owners who offer design solutions, provide professional advice, make educated suggestions or provide solutions to a range of customer needs. Examples of professionals who may benefit from errors and omissions insurance include real estate agents, notaries, teachers, inspectors and designers.

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