Ask These Questions When Buying E&O Insurance

Ask These Questions When Buying E&O Insurance

Axis policy

E&O Insurance is designed to protect your business in case you are sued for negligence from providing services. When choosing the right policy, you need to make sure your policy covers the professional services you provide, because if it doesn’t, your policy is useless. When purchasing an Axis policy, you should ask these questions to ensure your business is covered if you need to make a claim:

1. What is the legal structure of your business?

If your business is a corporation, the shareholders will need to be covered under the policy, whereas with an LLC, the members will need to be covered. It makes a difference in the underwriting.

2. Are professionals performing services for your company covered?

If your business uses independent contractors to provide services, will those entities be protected under your policy? And how will your business be protected if you hired an IC to do work that was subpar? Ask before you sign your policy.

3. What professional services are covered under the policy?

If you are a real estate company that provides notary services, but only have a policy that provides coverage for real estate activities, you could be at risk if your notary is sued. Make sure all your business services are covered under your E&O policy.

An Axis policy can be tailored to your business needs.