In the realm of business operations, whether you are a licensed sales agent, real estate agent, consultant, an advisor, or any other service provider, mistakes can happen. That is where Errors and Omissions (E&O) insurance steps in as a crucial safeguard against potential liabilities stemming from professional errors or negligence. But what exactly is E&O insurance, and why might it be something worth considering?
What Is E&O Insurance?
Errors & Omissions (E&O) insurance, often referred to as Professional Liability Insurance, is a type of business insurance designed to protect business owners and professionals from claims-made of inadequate work or negligent actions that result in financial harm to a client. Unlike general liability insurance, which covers bodily injury and property damage, E&O insurance coverage focuses on errors related to professional services provided.
The primary reason to invest in omissions coverage is simple: to shield your business from the financial loss of mistakes. Even the most diligent professionals can face claims of negligence or failure to perform as promised. Legal fees and court costs alone can be daunting, not to mention potential settlements or judgments against your business. E&O insurance helps cover these costs, allowing you to focus on your work with peace of mind.
How Much Does E&O Insurance Cost?
The cost of E&O insurance can vary significantly depending on factors such as your industry, business size, coverage limits, and your claims history. On average, insurance premiums can range from hundreds to several thousand dollars annually. However, the business insurance cost is often a fraction of what you might pay in legal fees or damages without professional liability coverage.
Agent Benefits Program E&O Insurance Policies
For those considering E&O insurance, it is important to choose the right insurance provider. Agent Benefits Program (ABP) offers tailored E&O policies for licensed
agents that stand out for their comprehensive coverage and competitive pricing. Currently, there is a Group-Sponsored E&O program available for those who want the cheapest E&O coverage for licensed sales agents available. This professional liability insurance program is underwritten by Markel Specialty Insurance Company, admitted in all states, and rated A (excellent) XV by A.M. Best
We understand the unique types of risks faced by licensed sales agents. The policies are crafted to cover claims and liabilities inherent in the insurance industry, including claims related to policy issuance errors, failure to procure coverage, or inadequate professional advice.
Cost-effectiveness is a key consideration for licensed sales agents when selecting an E&O policy. With ABP, you only pay for the coverage you need, ensuring that you are protected without overextending your budget. There are multiple limits of liability options available, and defense costs will always be outside your policy limit. Additionally, we offer low deductibles and no policy aggregate, so you never need to worry about facing E&O claims on your own.
While the cost of Errors and Omissions (E&O) insurance varies, its benefits in protecting your business from potential legal and financial liabilities are invaluable. Choosing the right provider, such as the Agent Benefits Program (ABP), can make all the difference. Their tailored policies, competitive pricing, and commitment to customer service make them a standout option for professionals seeking peace of mind and comprehensive coverage.
Whether you are an independent agent or small business owner, investing in E&O insurance is a proactive step towards securing your business’s future. Explore your options, understand your risks, and safeguard your hard-earned reputation with the right E&O insurance policy today.
At the Agent Benefits Program, we focus on providing independent agents the access to discounted resources they need to protect both their health and their livelihoods. Our goal is to ensure that agents have the protection and peace of mind they need to focus on their business and thrive in their careers. For more information or to get started, contact us at (844) 712-1878 or visit our website. Protect your livelihood with the tailored benefits you deserve.