Understanding Professional Liability Insurance

Are you unsure if you need professional liability insurance in Indiana? As the owner of an independent consulting business, it’s sometimes difficult to know what type of business insurance you need, if any at all. With so many types of insurance offerings for small businesses, under-insurance and over-insurance are both possibilities. When it comes to professional liability coverage, here’s what you need to know.

What is It?

Also known as errors and omissions (E&O) insurance, professional liability insurance protects your business against lawsuits resulting from your services. If a customer claims that your actions (errors) or inaction’s (omissions) caused them harm, you can have peace of mind knowing that your business and assets are covered.

Do You Need It?

Although E&O coverage is often optional, it’s sometimes a requirement in certain areas for certain practitioners. For example, medical practitioners are required to carry E&O coverage. For others, even if it’s not state-mandated, it’s definitely highly recommended. Examples of practitioners who can also benefit from such coverage include:

  • Technology Contractors
  • Real Estate Professionals
  • Attorneys and Lawyers
  • Interior Decorators
  • Business Consultants
  • Mortgage Brokers

Professional liability insurance in Indiana is important in order to keep yourself and your customers protected. Be sure to talk with your agent to determine how it can be added to your business insurance policy.