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Do I need errors and omissions (E&O) coverage for my business?

If your business provides services, you likely would benefit from having errors and omissions coverage. This type of coverage helps protect your business in the event a client holds you responsible for not providing a service, or if your service did not meet their expected or promised results. Some losses that are covered under an errors and omissions policy include defense costs, libel or slander, copyright infringement in advertising or software coding, and negligence that results from giving incorrect advice. As with all insurance policies, there are things that are not covered. You will need additional coverage for bodily injury, employment issues, and false advertising, among other things. And, depending on the type of service you provide, errors and omissions coverage might be called something else. For instance, if you are a physician or dentist, it is called malpractice insurance. If you are a lawyer, accountant, therapist, or engineer, it is called professional liability. Regardless of the name given, it all falls under the main heading of errors and omissions and serves to cover your business against legal judgments and settlements, regardless of fault. Speak with your local independent insurance agent about potential errors and omissions liability your business faces. Your agent can make sure you have the protection you need in the event a customer becomes dissatisfied with your service.