Balancing insurance coverage needs against financial constraints can be a challenge for many working professionals. Going without certain forms of coverage, such as errors and omissions insurance, to save money for other types of coverage may seem like a reasonable choice to many people. However, for the following professionals, the typical errors and omissions insurance cost is almost always worthwhile.
Professionals in Advisory Roles
People who provide advice that could lead to significant personal gains or losses are often at risk for errors and omissions claims, since even small slip-ups can result in serious consequences for clients. People who offer financial, legal or business advice, including consultants, lawyers, financial planners, real estate agents and insurance agents, should consider protecting themselves with errors and omissions insurance.
Professionals Offering High-Value Services
Professionals who work on projects or products that are costly, large-scale or time-consuming should also consider protecting their interests with errors and omissions insurance. For professionals such as architects and engineers, errors and omissions claims can be crippling, given the staggering costs of the work that these professionals produce. Next to these expenses, the typical errors and omissions insurance cost represents a smart investment.
Determining Coverage Needs
Professionals who are having trouble evaluating whether they truly need errors and omissions insurance should consider speaking with an insurance agent who is familiar with the professional’s industry. An agent can help a person identify primary areas of risk and determine whether purchasing this type of policy is the most advantageous solution.