Individuals and companies take out errors and omissions insurance policies (E & O insurance) in case negligence occurs during their handling of a matter for a customer or client. Without an E & O policy, a professional who provides services or advice could have to pay the entire cost of defending against another party's negligence claim, as well as any damages awarded as a result of the claim if it is attributable to the negligence of the person that provided the underlying service. Professional liability insurance such as an E & O policy is purchased in addition to general liability insurance, which only covers certain kinds of harm such as property damage and personal injury.
A successful business is operated and grown by good, smart work. The effective coordination of skills and experience across jobs can have extremely positive outcomes, and employees and licensed professionals have to be carefully chosen to protect your interests, reduce risks, handle operations and build profits.