Errors & Omissions insurance is an essential type of insurance coverage for consultants to have. However, consultants may be left unprotected if they choose a policy from the wrong Consultants Professional Liability insurance wholesaler. When evaluating whether they have found the right insurance provider, consultants should start by considering the following questions.
Are the Policies Current?
Consultants Professional Liability insurance policies are worth little if they are outdated, so consultants should evaluate whether an insurance wholesaler has kept up with current events. Does the wholesaler offer policies that address new areas of risk, such as cyber liability? Do the policies reflect recent regulatory changes or shifts in liability law? If not, a policy probably will not offer full protection.
Is Customization Permitted?
Consultants in different industries will face significantly different risks. A consultant who provides clients with financial advice may face claims of improperly representing facts through errors or omissions. A consultant who works in the tech industry may face claims of business disruption or data loss if a program fails to work properly. It’s crucial that consultants work with a Consultants Professional Liability insurance wholesaler that can provide customized policies to address the unique risks inherent to each industry.
Is the Decision Being Made Hastily?
Consultants should be careful to avoid quickly settling for a provider with great rates and limited coverage or excellent coverage at non-competitive prices. Finding the right insurance policy can take longer than some consultants would prefer. However, considering the high potential cost of professional liability lawsuits, doing so is more than worthwhile.