Errors and Omissions (E&O) Insurance

Also known as Professional Liability or Professional Indemnity Insurance, an E&O policy protects your business against 3rd party financial loss claims alleging a negligent act, error or omission in connection with your professional service. The policy is tailored to cover legal defence costs and compensation awarded to the 3rd party, up to the limit of liability chosen.

Depending on your area of practice, E&O may be required by law, or it may be a contractual requirement arising from a customer or supplier contract. Even if there is no contract requirement to obtain coverage, most professionals choose to arrange E&O coverage as prudent risk management. It is often their main risk exposure and important coverage to protect their business and professional livelihood.

While it is very common for professionals like architects, physicians and lawyers to hold such coverage, E&O policies are also regularly purchased by technology companies, recruitment/staffing organizations and other professional organizations that charge a fee for their services.

There is significant differences found in E&O policy wordings and negotiating the correct coverage is essential to ensure you are well protected. If you are not sure about the quality of your E&O coverage, please contact us for a discussion.

Technology E&O

Technology E&O policies cover liability and property loss exposures for providers of technology services or products. Major liability insuring agreements generally include losses resulting from not only those products and services, but also media content and network security breaches; property insuring agreements, meanwhile, provide coverage for extortion threats, crisis management expense, and business interruption.

Though technology E&O insurance is often confused with technology insurance due to some notable similarities, the latter is intended to protect consumers of tech products and services, while the former protects providers – for example, data storage services and tablet manufacturers. If you think you may need technology insurance instead, you can click here to visit our cyber and privacy insurance page.

For more information about obtaining an E&O policy, we encourage you to contact Michael by phone at 310-414-2100 ext. 1003, or by email at .

Note that coverage is generally limited to liabilities enumerated in your policy. If you have questions as to what these are, please feel free to ask.