What are liability insurance errors and omissions?

Liability insurance errors and omissions protect businesses from financial losses due to third-party lawsuits. This type of coverage typically covers claims made by clients, employees, or customers arising out of activities that are within the scope of business conduct.

This includes anything from workplace injuries caused by negligent behavior on the part of a company employee to property damage inflicted as a result of irresponsible business practices. The cost associated with liability insurance can be significant, but it is worth it if you fear that you may face financially devastating consequences should something go wrong.

You need to think carefully about which types of liabilities your business is likely to encounter in order for an insurance carrier to offer you a suitable policy. Some common examples include product injury claims, wrongful termination suits, and environmental pollution complaints.