As a small business in the Clarkston, MI, area, you may be looking to secure quality commercial insurance but are unsure of what coverage you need. If your business offers services such as financial advising, health advising, or any other type of service aimed at improving the lives of your clients, it’s time to consider errors and omissions insurance as part of your commercial insurance policy.

What is Errors and Omissions Insurance?

Errors and omissions insurance is a type of commercial insurance designed specifically for businesses that provide professional services or advice. It protects you in cases where a mistake, oversight, or misguidance results in financial loss for a client. While you may not need this coverage immediately, there may come a time when a client claims your advice caused them significant harm, leading to a lawsuit. General commercial insurance policies typically do not cover these types of claims.

Common claims covered by errors and omissions insurance include misrepresentation, inaccuracies in information, negligence, or violations of fair dealing. If a court finds grounds for these accusations, your business could be held liable for the value of the client’s loss, which could be substantial.

Does Your Business Fall Under This Category?

Below are some of the most common businesses that benefit from errors and omissions insurance:

• Graphic Designers
• Marketing Consultants
• Financial Consulting
• Accounting Firms
• Advertising Companies
• Legal Advisors
• Health Coaches

If your small business operates in one of these industries, adding errors and omissions insurance to your policy is a smart move. If you’re unsure whether your business qualifies, feel free to reach out to our agents at The Ryan Insurance Agency. We proudly serve clients in the Clarkston, MI, area and surrounding communities.