Your company has the best employees, but even they can make mistakes. E&O insurance in New York works to protect your business against legal action brought against you because of these errors. An errors & omissions (E&O) policy can be activated when your business causes significant financial loss or serious injury to a client. This type of policy helps firms to deal with the legal battles and other costs that can arise from such allegations and claims.
Little Mistakes Can Have Big Consequences
It doesn’t take a serious mistake to cause such a claim, either. Here are a few of the different errors your company could make which could trigger legal action and your E&O policy,
- Making a mistake on a form
- A bid was not placed at the proper time
- Miscommunication between your business and your client.
Omissions Can Cause Damage, Too
Of course, errors are not the only thing that can cause legal action, omissions can, too. One example of this would be if you failed to inform your client of information that led to a significant financial loss. By covering your business with E&O insurance in New York, you can help make sure your company is capable of surviving any legal action brought about because of mistakes.