Best errors and omissions insurance (E&O) for small businesses

Your profession, business location, and other factors will determine the best carrier when buying errors and omissions insurance, also called professional liability insurance. This policy helps cover legal defense costs when your business is accused of professional negligence, even when the accusation is false.

Insureon works with 40+ carriers to find the best insurance coverage for your needs. We've helped over 400,000 small businesses get protected with more than 1.5 million policies.

When you compare quotes with our application, we do the work for you by retrieving quotes from the insurers that best match your business needs. The most important factors are:

• Best-rated companies, in terms of financial strength and ratings
• Best carriers for your industry
• Best carriers for your business's location

Some providers specialize in E&O insurance for certain professions, and others operate only in limited areas. All of our insurance partners are rated excellent or superior by AM Best [PDF].

When buying errors and omissions insurance with Insureon, you'll get quotes from trusted providers that specialize in this policy.

Based on financial strength and overall rating, our top carriers for E&O insurance include:

The Hartford: Rated A+ by AM Best. Located in Hartford, CT. Specializes in property and casualty insurance (including general liability, E&O insurance, and workers' compensation), group benefits, and mutual funds.

Philadelphia Insurance Companies (PHLY): Rated A++ by AM Best. Located in Bala Cynwyd, PA. Specializes in property and casualty insurance (including general liability and E&O insurance) and management insurance.

Hiscox: Rated A. Located in Chicago, IL. Specializes in general liability, E&O insurance, business owner’s policy (BOP), and cyber insurance.

Travelers: Rated A++. Located in Hartford, CT. Specializes in commercial property and casualty insurance (including general liability and E&O insurance) and personal insurance.

CM&F Group: Rated A++. Located in New York, NY. Specializes in medical malpractice insurance for healthcare professionals.

Because errors and omissions insurance covers the specific risks of your professional work, your industry is a key factor. You'll need a provider that can make sure you're covered for the right exposures. In fact, not all carriers may insure your profession.

Here are the recommended providers of E&O insurance for our top industries.

Your state is another important factor when choosing an E&O carrier. While many insurance companies provide national coverage, others cover only a specific territory that could exclude your business's location.

Here's a list of the best carriers for E&O insurance in our top five states:

If you work in a field where an errors and omissions insurance policy is required by law, going without coverage could result in hefty fines and penalties. In certain professions, you might even lose your license.

Additionally, you might lose out on clients who want you to carry this coverage. They might choose to work with a competitor who is insured rather than risk having to face expensive legal fees.

Beyond all of this, perhaps the biggest risk is to your own business. Without E&O insurance, a simple mistake could lead to costly legal expenses that could force your business to close.

Errors and omissions insurance covers claims related to:

• Breach of contract
• Missed deadlines
• Mistakes and oversights
• Misrepresentation

These liability claims are a tremendous risk at businesses that provide professional services or advice, bringing financial losses that could bankrupt your business.

E&O insurance covers lawsuits related to professional negligence, but it's not the only type of insurance you need. As part of their risk management plan, small businesses often buy the following insurance products:

General liability insurance: This policy helps pay for accidents that damage a customer's property or cause a bodily injury. It also covers defamation and copyright lawsuits.

Business owner's policy: A business owner's policy combines general liability insurance with commercial property insurance in a cost-saving package. It provides coverage in the event of a customer accident or business property damage.

Workers’ compensation insurance: Workers' comp covers medical expenses when an employee is injured on the job. Most states require this coverage for businesses that have employees.

Commercial auto insurance: Businesses that own a vehicle are typically required to carry this coverage. It helps pay for legal costs and medical bills if your business vehicle is involved in an accident.

Cyber insurance: This policy covers expenses related to data breaches and cyberattacks, such as the cost of notifying affected customers. It's also called data breach insurance.

Commercial umbrella insurance: When your underlying general liability, commercial auto, or employer's liability insurance policy reaches its limit, umbrella insurance kicks in to provide additional coverage.

It's easy to get E&O insurance with Insureon. Fill out our online application to receive quotes from trusted providers. Our expert insurance agents can help you choose appropriate coverage limits, add endorsements, and make sure your policy matches your business needs.

Most small business owners can get same-day coverage and easily download a certificate of insurance as soon as they purchase their policy.