For service-based businesses in Canada—whether you’re a consultant, designer, or IT firm—your reputation is everything. But even the most skilled professionals can face claims of negligence, mistakes, or missed deliverables. That’s where Errors & Omissions (E&O) Insurance, also known as Professional Liability Insurance, comes in.

⚡ What E&O Covers

• Negligence or Errors 📝: Claims that your work caused a client financial loss.
• Failure to Deliver 📉: Coverage when projects don’t meet specifications or deadlines.
• Legal Defence Costs ⚖️: Protection, even if allegations prove groundless.
• Settlements & Judgments 💰: Financial support if you’re found liable.

📌 Why It Matters for Service Professionals

• Consultants 👨‍💼: Advice that leads to client losses can spark lawsuits.
• Designers 🎨: Mistakes in design work can result in costly rework or disputes.
• IT Firms 💻: Coding errors, system downtime, or data breaches may lead to major claims.

❌ What It Doesn’t Cover

• Intentional misconduct 🚫
• Bodily injury or property damage (covered under CGL policies)
• Internal business disputes

✅ The Takeaway
E&O insurance isn’t just about compliance—it’s about confidence. It shows clients you’re prepared for the unexpected while safeguarding your business against potentially devastating financial losses.

👉 Have you reviewed your E&O coverage lately? It may be one of the most important policies your business carries.

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