Which liability insurance is another term for Errors and Omissions Insurance?

Which liability insurance is another term for Errors and Omissions Insurance?

• A. General
• B. Professional
• C. Auto
• D. Employer's Liability

Answer: (B)

Errors and Omissions Insurance is professional liability insurance. It protects professionals against claims of errors, omissions, or negligence in the performance of their professional services. In design-build contexts, this covers design mistakes, faulty advice, or incomplete specifications that cause client losses. The other types serve different needs: general liability covers bodily injury and property damage to others, auto liability covers vehicle-related incidents, and employer’s liability relates to workers’ compensation exposures. So the insurance that matches professional services and potential design-related claims is professional liability insurance.

Errors and Omissions Insurance is professional liability insurance. It protects professionals against claims of errors, omissions, or negligence in the performance of their professional services. In design-build contexts, this covers design mistakes, faulty advice, or incomplete specifications that cause client losses. The other types serve different needs: general liability covers bodily injury and property damage to others, auto liability covers vehicle-related incidents, and employer’s liability relates to workers’ compensation exposures. So the insurance that matches professional services and potential design-related claims is professional liability insurance.