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••••••>Professional E & O liability insurance- Managing Your Risk

The first question often asked by the business owner is: Do I need business errors and omissions insurance? The answer is, “yes!” Business E&O liability insurance is something you cannot do without. As someone who runs a business, you are familiar with the day-to-day uncertainties of small business management.

Irrespective of the size of business, it is pivotal to consider liability insurance. It is prudent to cover your business against all kinds of liabilities -- public liability (third party injury or property damage) from industrial and non-industrial operations, product liability, professional indemnity, E and O liability and E&O liability.

There are many different types of insurance policies available, but liability insurance is one of the most popular because it costs much less than many other options. Liability insurance is only responsible for the other party's losses. Your person and your property are unprotected, but liability insurance protects you from being held responsible for the other party's damages. •

Commercial General Liability (CGL) is probably the most common business liability coverage. General Liability coverage responds to claims of bodily injury (someone comes into your office and slips and falls, or you go to a client’s location and physically injure someone) and claims of property damage (you knock a vase off a desk during a client meeting). These policies typically also respond to claims of personal injury (including slander or libel), and advertising injury.

Errors and omissions insurance protect business professionals whose clients could claim damages as a result of the business professional's faulty performance. “Errors and omissions insurance is business liability insurance for professionals such as insurance agents, real estate agents and brokers, architects, third party administrators and other business professionals”. Also Known As: E and O insurance. Errors and omissions may also be referred to as: E&O (Insurance), Errors (&) Omissions, Professional Liability (Insurance), Malpractice (insurance), etc.

D & O liability stands for "directors and officers" liability and is intended to cover the acts or omissions of those in the director or officer position. An entire company should not be held liable for the statements, actions, failure to act, or other mistakes that are the responsibility of an officer or director.

Employer liability is also known as worker's comp, and it is a mandatory form of liability insurance coverage that all businesses must carry. While it sounds like it is intended to protect the employee, which it does to some degree, it is actually protection for the employer in case of injury, job related illness, or other damages for which the employee might sue the company.


Professional liability is similar to malpractice insurance, although the coverage may not be as comprehensive as some malpractice policies in different fields. The purpose for professional liability insurance is to protect those seen as professionals or "experts" in a given field, who may not be protected by general liability due to their expertise. When one is seen as a professional, he is held to a higher standard and is therefore often considered to hold greater liability towards his clients. Consequently, he needs more coverage than general liability insurance offers.

Commercial auto- Your personal automobile policy does NOT cover vehicles used by your business. If your business uses vehicles or anything that is required to be titled by your state, then you need a commercial auto policy. Commercial auto coverage insures against property damage to vehicles and damage caused to others by those vehicles. Here, we understand all of the hard work you have spent on your business plan – the number crunching, careful planning and endless hours you’ve invested. And because accidents can – and do – happen, slash your risks protects you and your business.

For More information you can visit: http://www.slashyourrisks.com/


••••••>Professional E & O liability insurance- Managing Your Risk