For many people, the ultimate dream is to have their own business and be their own boss. It’s important to protect that dream with a comprehensive business insurance portfolio. A key component of this portfolio is errors and omissions, or EO insurance. Even the most conscientious business owner is going to make mistakes on occasion. Employees might fail to do their job properly. If these errors damage a client, they could sue. EO insurance in New York protects companies against these expenses.
Expect the Unexpected
A lawsuit can inflict unexpected costs upon a company. A good EO policy will typically pay for many of these expenses.
1. Legal Fees
Court costs, administrative and paperwork costs, and of course, hourly lawyers’ fees all add up quickly. EO insurance covers these costs.
2. Claims and Damages
Whether settled out of court or awarded at judgment in a courtroom, EO insurance pays the claims and damages awarded in a lawsuit. Payment of punitive damages vary from policy to policy.
3. Personal Injury
Libel or slander against an individual constitutes a personal injury. EO insurance covers errors that result in personal injury and pays any fines associated with the claim.
For comprehensive EO insurance in New York, businesses should talk to an insurance broker.