Protect Your Business With E&O Insurance
January 29, 2014
As a business owner, things happen, even when you’re not at fault. Unwanted claims from disgruntled clients can cause unexpected distractions, which in turn, affect your bottom line. Fighting these claims can get very expensive. According to the U.S. Chamber Institute for Legal Reform, the average cost to litigate a civil lawsuit is between $50,000 and $100,000 with almost $37 billion paid out-of-pocket by small business owners defending and settling these lawsuits. Don’t put your business at risk!
Why do clients file lawsuits? There could be a number of reasons. They may not like the service you provided, felt you misrepresented yourself or your firm, made errors or mismanaged the project. This can hurt your credibility, reputation and longevity of your company.
Professional liability insurance can manage this risk! An Errors and Omissions (E&O) policy aids in protecting your business from civil litigation costs. It’s effective, affordable and will allow your business to continue whether the claim is authentic or not.
For more information on E&O insurance and its benefits, contact Central Insurance Agency.