Everyone makes mistakes, but sometimes those mistakes can be costly. If your business provides any professional services that pose any sort of risk to your clients, you probably ought to shop for errors and omissions insurance in NY. E&O is professional liability insurance that covers the cost of your legal fees and any settlements granted if an error on your part causes some type of loss for your client. Without adequate coverage, you could end up paying a lot of money out of pocket, even if the claims prove to be unfounded.
If, for example, you are a real estate broker and you sell a commercial property with the promise that certain upgrades had already been made. If the clients then have to pay for the upgrades themselves, they could sue you for negligence or false information. If you are an accountant, and you make a mistake on tax forms, causing your client to have to pay penalties, you could be sued for your error. If, however, you have adequate errors and omissions insurance in NY, the cost of your legal fees and any damages the court awards your client are likely covered by your policy. Having E&O coverage is essential for protecting your business from your mistakes and the mistakes of your employees.