Errors and Omissions (E&O) insurance protects service professionals, technology consultants, and corporate advisors against allegations of professional negligence.

1. What E&O Covers

Unlike standard CGL policies that require physical bodily injury or property damage, E&O covers purely financial losses suffered by clients due to advice errors, missed deadlines, coding bugs, or contract breach allegations.

2. Duty to Defend & Legal Costs

Even groundless lawsuits cost tens of thousands in attorney fees. E&O policies provide a rigorous 'duty to defend', covering legal defense teams, expert witness fees, and negotiated settlements.