Do You Need Professional Liability And General Liability Insurance?

If you own a business you should put dedicate time to build a comprehensive insurance portfolio.  Small business owners face unique perils on a seemingly daily basis.  Without the right type of insurance, you may end up closing your doors for good just because an upset client claims negligence on your behalf.  Most small business owners carry General Liability insurance.  If you currently have General Liability insurance, are you also carrying errors and omissions insurance, if you are not sure, review the difference between each type of coverage and understand why you need both.

General Liability Insurance Basics

General liability insurance is included in a basic Business Owners Package policy.  The primary purpose of general liability insurance is to protect your company's assets if you are sued for causing personal injury or property damage.  Without general liability insurance, you may be responsible for paying large settlements or judgment you just cannot afford.  General Liability coverage will pay up to the limit stated on the policy if a customer files a claim.  Your insurance company will not only pay, it will also investigate the claim and represent you in court if the claims are unfounded.

Errors and Omissions Basics

While general liability is necessary, most people overlook the gaps in coverage that exist.  General Liability insurance policies will not cover mistakes that are made during the course of doing business.  To cover this gap, you will need to invest in errors and omissions insurance.  E&O insurance is designed to protect professional service providers from accusations of mistakes and omissions.  One important fact to realize is that this policy will cover you against founded and unfounded claims.  In today's litigious society, investing in coverage to protect yourself against dishonest customers is critical.  If you are a professional in any service industry, you should protect the future of your career with e&o insurance.

Where Do You Purchase Business Liability Insurance?

If you do not have a comprehensive insurance portfolio, it is time to contact a commercial insurance agent to quote insurance.  Commercial insurers offer a variety of different policies designed to protect your business interests.  If your current commercial insurer does not offer errors and omissions insurance, contact a competitor and see if you combine your insurance into an affordable packaged policy.

Just because you are not an expert insurance agent does not mean you should operate without the right type of commercial insurance.  Set up an appointment with a reputable commercial insurance agent and discuss your options.  Once you sit down with your agent, you can get the peace of mind you need to operate to your maximum potential on a daily basis.  Discuss errors and omissions insurance plans with your agent and see if you are the right candidate for coverage.