E&O Insurance: Everything You Need To Know And More

E&O Insurance: Everything You Need To Know And More

If your insurance policy is in place and active, then you can begin to make a claim with these following steps, found on Insureon:

1. Review your E&O policy.

You need to make sure your policy covers the allegations made against you. Review your policy yourself before contacting anyone else. This will save your time.

2. Make the claim right away.

Start the process as soon as you know it is covered. You’ll need to file a claim on your E&O insurance policy. Write down every detail about the claim that you can remember while it is still fresh.

Other information that our insurance provider will need to know includes:

Your name
Business name
Current contact information
Policy number and type of coverage
A description of the claim
When you first learned about the incident

It’s important to be as fast as you can when filing a claim. If you fail to report an incident as soon as you learn of it, then the terms of your E&O coverage will be affected.

3. Contact your insurance agent.

The next thing you need to do is call your insurance agent.  If you haven’t been sued just yet, then the agent will recommend that you call your insurance carrier and they can take case of the rest.

Early action allows the insurance company to investigate and resolve a claim prior to the lawsuit, as part of your insurance coverage. Many E&O policies, along with paying for your defense, also help you find a lawyer and pay off your losses. However, if you do not notify your insurance company within the given timeframe, they can easily also reject your claim.

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4. Gather all documents related to the incident.

Evidence is a must-have for a successful legal defense. Make sure you have as many documents and records as possible of all of your professional activities and interactions. Good examples of records and documents you can easily record and file:

Phone calls
Emails
Instant messages
Video conferences
Contracts

No one other than your attorney should have access to these documents. Make sure you keep private copies that only you can access. Never alter any document, even for a misprint or to add a clarifying mark, as alteration of evidence is against the law. This looks bad in court. Additionally, it could lead to you losing your E&O insurance coverage.

5. Contact Your Lawyer.

The next step is to make sure you don’t take any steps without contacting your lawyer. Stay calm and follow their instructions. Once your lawyer looks over you formal complaint, they might take any of the following courses of action:

They may dismiss your lawsuit on legal grounds, if the claim in unfounded.
Thay might answer the claim in court.
They could also settle the claim outside of court.

There have been many cases where people drop an entire lawsuit gets when they get a simple apology or a promise. In most cases, however, you should be able to settle outside of court with a negotiated amount of money, which your E&O insurance will cover.

Important Tips: Limit your interactions

Do not speak unless you are required to.
Never say you are sorry.
Never make decisions without discussing it with your lawyer first.
Be honest.