errors and omissions Insurance in Vermont

What Is Errors and Omissions Insurance?

Working as a professional can be both personally and financially rewarding, but this type of work comes with a certain amount of risk. For, professionals are sometimes held financially liable if they make an error while working for clients. Errors and omissions insurance policies help protect professionals working in Vermont from certain liability claims and lawsuits that may follow work-related errors.

Errors and omissions insurance policies are specialized professional liability policies. Like other liability policies, most of these policies help pay legal defense fees and settlements associated with covered claims.

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What Vermont Professionals Is E&O Insurance Right For?

Most professionals working in Vermont ought to have some form of professional liability insurance in place, but not all professionals need E&O insurance. Generally speaking, this form of professional liability coverage is primarily intended for professionals who give advice. For instance, this coverage is often used by the following sorts of professionals:

  • Lawyers
  • Paralegals
  • Investment advisers
  • Financial planners
  • Insurance agents
  • Real estate agents
  • Trustees

Professionals in other fields might need a different form of professional liability insurance. For example, doctors typically need medical malpractice policies.

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Should Professionals Working in Trades Carry E&O Insurance?

E&O insurance often offers many protections that help professionals who work in trades, such as plumbers, electricians and general contractors. Whether an E&O policy or some other policy is best for tradespeople depends on their specific situation, however.

An insurance agent who specializes in E&O insurance can help tradespeople evaluate their particular situation and determine whether this form of insurance meets their needs.

What Sorts of Work-Related Errors Are Covered by E&O Policies?

Because E&O policies are used to protect professionals in many different fields, the exact incidents that these policies cover can vary quite a lot. Depending on a particular policy’s terms and conditions, it might cover incidents like the following scenarios:

  • Real estate agent doesn’t provide the proper zoning information prior to closing, and their client can’t use a property as intended after purchase
  • Paralegal doesn’t file paperwork on time, and this negatively impacts a client’s lawsuit
  • Stockbroker doesn’t execute a requested trade in the proper time frame, and the client’s portfolio suffers a loss
  • Certified public accountant misenters a figure, and a client is fined during an accident years later
  • Electrician recommends the wrong gauge wire for a project, and the client’s property is damaged

An agent can explain what sorts of incidents a specific E&O policy would probably cover.

Do E&O Policies Cover Charitable Work?

Whether an E&O policy covers pro-bono work that’s done for charities depends on the policy’s terms and conditions. Professionals who want to make sure they’re covered for charitable work should talk to an experienced agent who can help find a policy that offers the desired protections.

Are E&O Policies Expensive?

Insurance companies consider many different factors when setting rates for E&O policies, so prices frequently vary. A professional’s line of work, location, selected coverages and other factors can all influence price.

Even with variance between premiums, however, E&O policies tend to be affordable. They’re almost certainly more affordable than facing a major claim without any coverage in place.

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How Can Professionals in Vermont Get Errors and Omissions Insurance?

For assistance with selecting an errors and omissions insurance policy, contact the independent Vermont insurance agents at Paige & Campbell Insurance. Our team has helped many professionals find the coverage they need, and we’re here to assist you as well. As independent agents, our team members can recommend the best policy options no matter what company offers them.

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