Tag Archives: E&O
Reducing E&O Liabilities for IT Businesses
IT consultants are hired to analyze, repair or create IT systems and structures for other businesses or organizations. They are even commonly tasked with more specific things such as writing code, installing programs and setting up hardware. Essentially, IT businesses focus on protecting other businesses from technological problems so that they can run smoothly. As business technology changes and evolves, IT consultants are taking on more and more responsibilities, which …
How Your Company’s Website Could Be an E&O Exposure
A company website is an important aspect of a business’s online presence. Your business’s website is often the first impression your company gives to potential customers. It should be clear, clean, easy-to-navigate and contain enough information to answer common customer and potential customer questions and leave visitors with a good grasp of what your company is about.
In contrast, a website – even one that looks great – can actually …
3 Things to Consider When Purchasing E&O Insurance
Errors and omissions (E&O) insurance is the essential policy that covers a business or individual consultant in the event that a client accuses them of being responsible for a wrongdoing in a service they provided, or failed to provide. E&O insurance may be called by different names; for example, in the medical field it is often referred to as malpractice insurance and for some types of professionals in may be …
D&O and E&O Insurance: What’s the Difference?
On the surface, it can be tough to tell the difference between directors & officers (D&O) and errors & omissions (E&O) insurance. Both policies, at their core, are designed to safeguard a business against losses from claims of negligent or malicious acts. However, this does not mean that the two policies are interchangeable. That is a common misconception, but the two policies each have distinct areas that they cover, and …
Reducing Insurance Agency E&O Exposures
Insurance agents and producers better than anyone else know that as professionals you are exposed to allegations and claims that an error or omission caused financial damage to an insured. Even with best practices in place, mistakes can happen considering the massive volume of transactions that occur in a typical agency over the course of a year.
The most frequent E&O liability claims for insurance agents include failure to place …
Reducing Legal Malpractice Claims
Attorneys are on the frontline of lawsuits defending clients against allegations of malpractice or errors and omissions related to the performance and delivery of work. Equally, attorneys can also find themselves sitting in the defendant’s chair when an unhappy client turns the table on them and sues for legal malpractice.
Yet, when a legal malpractice claims is made, often they can be resolved early on. The key is not to …
Accountants E&O Insurance: Minimizing the Risk of Lawsuits
Errors and omissions lawsuits against accountants, CPAs, auditors, bookkeepers and related professionals typically arise out of disputes that involve mistakes or oversights on tax returns, failure to deliver on a promised service, and incomplete or incorrect work, among other oversights. Errors & Omissions insurance, also known as Professional Liability coverage, for the accounting sector protects you and your business from bearing the full cost of defending a lawsuit and any …
Potential E&O Exposures for Real Estate Professionals
The use of wire transfers and the Automated Clearing House (ACH) Network are used to handle real estate transactions between businesses and individuals. Real estate agents, brokers, property managers, title agents, escrow agents, mortgage brokers and bankers all have access to personal and financial data of their clients with wire transfers and ACH instructions – information that has become increasingly at risk for fraud and deception. In fact, scammers and …
Insurance Agency E&O: Discussing Coverage Gaps with Insureds
A recent case in Ontario, Canada highlights the importance of an insurance agent/broker’s responsibility to review coverage gaps with clients. In the Ontario case, a motion was allowed for summary judgment against an insurance brokerage and the individual broker for failing to meet their duty of care to arrange adequate insurance coverage.
The specifics of this case involve a client who was in a motor vehicle accident while operating his …
Mitigating Accounting E&O Risks with High-Profile, High Net Worth Clients
Incorporate Risk Management Measures to Stem E&O Claims
In our previous article, we discussed two emerging risks for accountants, including the increased exposures that come with dealing with high-profile, high-wealth clients. Here, we’re providing you with several risk management steps to help mitigate the potential for E&O/professional liability exposures.
- Assess whether you want an individual as a client. Consider the reputation and integrity of the client to be
