Your insurance agency aims to help individuals find the most affordable insurance policies to meet their needs. However, what happens if you make a mistake or omit something critical? You need errors and omissions insurance to protect yourself and your agency. Understanding the cost of E&O insurance for insurance agents will help you make the best choice.
What Affects the Cost?
The first element in understanding errors and omissions insurance cost is to learn what affects your premiums. Your industry plays a critical role in how much your coverage will cost. Other factors your insurance agency will consider include your location, coverage limit, yearly revenue, claims history, and deductible. This information will help your agent calculate how much you can expect to pay for your insurance. Many small businesses pay between $500 and $1500 monthly.
What Is Covered?
Although the cost of E&O insurance for insurance agents is primarily impacted by the above factors, reviewing what is covered under a policy is vital. As an insurance agent, you realize that policy coverage isn’t always identical. Your E&O insurance should include coverage for defense costs when required, court expenses, court-ordered settlements, wrongful termination coverage, and more. Your agent will discuss the particulars of your policy to ensure you can make an informed decision.
If you want to know the cost of E&O insurance for insurance agents, visit American Agents Alliance.
