Understanding Professional Liability vs Errors and Omissions Liability

 

 

Running out of cash is one of the biggest reasons businesses failed last year.

If you're serious about protecting your company, having the right insurance is crucial. Two common options are professional liability insurance and errors and omissions insurance.

Understanding the differences between these insurance types can make a huge difference. If you'd like to safeguard your brand, read on to learn about professional liability vs. errors and omissions.

What Is Professional Liability Insurance?

Professional liability insurance can protect both professionals and their businesses. That way, you won't have to be worried about claims of negligence.

This protection is particularly important for people and companies in fields like healthcare, law, and consulting.

You can breathe more easily knowing this insurance can cover legal fees, settlements, and more. It's essential for those who offer specialized services or professional advice.

What Is Errors and Omissions Liability Insurance?

Errors and omissions insurance serves a similar purpose to professional liability insurance. Keep in mind that E&O insurance is not limited to professional services. It also covers errors, mistakes, and omissions related to products and more.

This insurance benefits many businesses, including manufacturing, technology, and other industries.

The Key Differences Between the Two Types of Insurance

The major difference between these two options is the scope of coverage. PLI focuses on professional services. E&O insurance covers a wider range of errors and omissions.

PLI is often industry-specific and tailored to the needs of professionals. This can include everyone from doctors to lawyers and consultants.

Conversely, E&O insurance is more suitable for a broader range of businesses.

Depending on different factors, professional liability insurance might be a legal requirement. For example, doctors and lawyers might need PLI to run their practice. E&O insurance is not often mandated by law but is still a wise choice.

The cost of insurance premiums can vary. Professional liability insurance may be more expensive because the coverage is tailored. E&O insurance has a broader application, so it tends to be more affordable.

Choosing the Right Insurance Options

Start by considering the nature of your business and its potential risks. Professional liability insurance is likely your best choice if you provide professional services. This can include medical care, legal advice, or something else.

Is your business at risk of product and service mistakes that could lead to financial losses? If so, errors and omissions insurance may be the better option.

Consulting with an insurance professional will make the choice easier.

Now You Can Choose Between Professional Liability Vs. Errors and Omissions

Has someone asked you about professional liability vs. errors and omissions? With the information from this guide, you can help them make a confident choice.

Feel free to rely on the team at Tom Needham Insurance Agency. Our expertise runs from business insurance to home insurance and beyond.

We'd be more than happy to consult you and determine the best coverage for your situation. All you have to do is touch base with a Tom Needham team member today.

Does RV Insurance Cover Water Damage? What to Expect

 

Interest in RV travel and ownership is still on the rise in 2023. If you're planning on driving straight in and purchasing your own RV, you're going to need RV insurance.

When you're driving and/or living in an RV, having the right insurance policy can save you a lot of money and hassle. Not only do you need accident protection, but you may also want coverage for internal problems, like faulty plumbing or electricity.

An important question to ask is, does RV insurance cover water damage? The answer is that with the right comprehensive policy, it will-though it will have limitations.

Ready to learn more? Read on to find out when RV insurance covers water damage.

When Does RV Insurance Cover Water Damage?

With the right type of RV insurance, some types of water damage will fall under the category of "covered events." Covered events are the types and causes of damage that your insurance carrier will provide full or partial coverage for.

For example, you can often cover the cost of water damage caused by an accident using your collision coverage. If your belongings inside the RV (including appliances and built-in structures) are damaged by water, your insurance carrier may provide coverage to replace them.

However, most policies won't cover water damage caused by poor maintenance, negligence, manufacturer defects, or freezing weather. Make sure you know what kind of water damage is covered by your insurance policy before you hit the open road.

How Can You Get Comprehensive RV Insurance?

If your current policy does not seem to provide much coverage, it is time to shop for a better policy. This is where an experienced insurance agency can help.

At Tom Needham Insurance Agency, we take into account everything from the value of your RV to the amount of time you spend in it to your budget when putting together your accurate insurance comparison. We work independently of all insurance carriers, which means that we do not benefit from selling you on one specific policy.

Who Needs Comprehensive RV Insurance?

Only about 1.5% of RV owners live full-time in their RVs. If your RV is your full-time home, you should absolutely invest in comprehensive RV insurance.

However, full-time RV dwellers are not the only ones that would benefit from comprehensive coverage. If you use your RV more than a few times a year or use it to travel long distances, you are going to want the peace of mind that comprehensive coverage can bring.

Contact Tom Needham for RV Insurance

Are you a new RV owner? It is time to start asking questions like, does RV insurance cover water damage? The answer is that with the right policy, water damage is often a covered event.

Ready to learn more about your RV insurance options? Contact us today to get started. We know how exciting buying an RV can be, and we want to make sure that you get the coverage to keep that excitement alive.

3 Benefits of Investing in Commercial Auto Insurance

 

There were over 150,000 treated injuries resulting from commercial truck accidents in 2021 alone.

If you own a company with one or more commercial vehicles on the road, you should have commercial auto insurance. You've got too much to lose to let your drivers hit the road without it.

In this post, we're going to explain some of the benefits of this type of commercial insurance. There are obvious ones and less obvious ones, so keep reading to find out what they are.

1. You Get Full Coverage

When you get commercial insurance of this nature, you get complete coverage for all scenarios. It is commercial general liability insurance, commercial property insurance, and commercial business insurance all wrapped up in one policy.

Beyond the obvious coverage for actual accidents, you'll be covered against damage from natural disasters, floods, break-ins, and vandalism. All of this is essential coverage because these types of events have the power to stop your business' revenue in its tracks.

With comprehensive coverage, you can continue operating as before without major financial loss. 

2. You'll Be More Creditworthy

In owning a business, there's a good chance you'll have to apply for small business loans at some point. Lenders are always going to look into a variety of factors before issuing you a hefty loan. One of these factors will be the types and levels of insurance that you carry.

So, if you're looking for a loan for a new commercial vehicle to add to your fleet, the insurer will want to know that you carry enough insurance to pay for damage or replacement. If you have a good policy with comprehensive coverage, you'll be able to take out loans more easily than if you have a lesser policy or no policy at all.

3. Roadside Services

Running a company where your fleet of vehicles plays an integral role in how you make your money means that any vehicle breakdown can be devastating. Unfortunately, your reliance on your vehicles doesn't preclude them from having mechanical issues or flat tires.

Many commercial auto insurance policies include coverage for roadside and towing assistance. If one of your drivers is ever stranded on the road, you shouldn't have to pay out of pocket to get them moving again. This gives you peace of mind knowing that your vehicles will be looked after regardless of the situation.

It's Time to Get Commercial Auto Insurance

Now that you know some of the biggest benefits of commercial auto insurance, you can find the right policy from the right insurer. At Tom Needham Insurance Agency, we're always looking out for the best interest of North Carolina's small businesses.

What your commercial auto insurance policy looks like will depend on a number of factors. If you want to learn more about how it works and what you should include in your policy, contact us today to book a consultation with one of our knowledgeable insurance professionals.