The need for NJ errors omissions (E&O) insurance includes professionals across a wide range of industries, and some of the people who can benefit by having E&O insurance are doctors, lawyers, accountants, architects, and engineers, to name a few. There are however, many others who need this type of coverage that often don’t even consider purchasing a policy of this type. Those individuals range from advertising agencies to commercial printers, web hosting companies, and even wedding planners.
If you’re in the business of providing a service to your client for a fee, then chances are you could be sued and therefore you have an E&O exposure. You might want to consider what could happen if, for any reason, the service you perform for a client is not done correctly or you miss a deadline, and it ends up costing your client money, or perhaps harms their reputation. They might well seek retribution through the courts.
How claims end up being filed
In the case of the wedding planner, for example, let’s say that he or she reserves the reception hall, the band, the caterers, valets, and other required service providers for the wrong date. When everyone shows up except the wedding party and guests, or only the wedding party and guests show up, you can imagine the amount of emotional distress this would cause to the couple expecting to perform their nuptials if this were to happen.
A freight forwarder could ship some time-sensitive cargo to the wrong city, or even the wrong Country and this could spell disaster as well. Too many issues of this nature are always a possibility, and while it may be an honest mistake, sometimes an error of this sort comes with a price. No one wants to be named in a costly lawsuit, but if it happens, wouldn’t it be wise to have the right insurance solution in place?
The best time to buy an E&O policy is, of course, before any error occurs. If you’re in the service industry and you know you will have these kinds of exposures, make NJ errors omissions insurance a part of your insurance portfolio. Many contracts with clients will require insurance to be in place because it gives them the peace of mind of knowing they will be compensated if an issue springs up.