Selecting comprehensive insurance is key to the success of your company. If you fail to take out a proper plan, it can easily lead to some serious legal and financial complications. Luckily, it doesn’t take much to figure out the best policy for your needs. Examining each coverage option and weighing out the pros and cons can provide more insight on what is useful and what you can let be. Tail coverage, also known as E&O insurance, is one option that a number of businesses across a variety of industries can take advantage of.
The Basic Concept
E&O tail coverage is not difficult to understand. Essentially, this type of insurance covers any errors and omissions that were made in relation to your services during a set amount of time. Typically, the insurance plan itself will dictate the exact window in which these types of claims can be made. For example, an offer that was retroactively changed is protected against consumer claims under this type of policy. There are several key benefits that come along with this type of coverage. Common advantages include:
- Legal defense costs
- Protection against property damage
- Removes the burden of responsibility from business owner
Assess Your Risks
If you believe that E&O coverage is a good fit for your company, now is the perfect time to learn more. Research the basics and see how you can benefit from adding this coverage to your existing plan.