Errors and Omissions (E&O) Insurance, also known as professional liability insurance, protects professionals and businesses from claims of negligence, mistakes, or failure to perform their services as expected. This type of insurance covers legal defense costs and any settlements or judgments resulting from allegations of errors or omissions in the services provided. It is commonly used by professionals like doctors, lawyers, consultants, accountants, and real estate agents, but can also apply to other industries where advice or services are given. E&O insurance does not cover intentional wrongdoing, but it can shield against costly lawsuits that might arise from unintentional errors or failures to meet professional standards. This coverage is crucial for safeguarding a business’s financial stability, reputation, and operations, as litigation from clients can be expensive and time-consuming.