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Errors and Omissions Insurance Ontario
Contractors Insurance is an award-winning commercial insurance brokerage based in Ontario. We provide fully customized insurance plans, including errors and omissions insurance, for contractors and tradespeople so they get the coverage they need.
Contractors E&O insurance is a type of professional liability insurance that protects contractors from claims that their service was subpar. It also offers protection against lawsuits of misconduct, negligence, mistakes, or failure to deliver services as promised. It’s a must if you want to secure your finances early in your career.
Contractors Insurance has provided the specialized errors and omissions insurance Ontario businesses and contractors need to address their unique needs. You know you’re in good hands with our award-winning team and dedicated customer service.
What is Errors & Omissions Insurance?
Unlike commercial general liability insurance, which covers bodily injury and property damage, E&O Insurance Ontario specifically addresses the unique risks contractors face. As a type of professional liability insurance, errors and omissions insurance protects against claims that arise from mistakes, oversights, or inaccuracies in a professional’s work, even when those mistakes are unintentional.
E&O Insurance is particularly important for professionals who provide advice, recommendations, or services that can have significant financial consequences for their clients or others. This includes a wide range of professions, from architects and engineers to accountants and consultants. E&O coverage typically includes the following items listed below.
Negligence
This encompasses instances where a professional fails to exercise the level of care and skill expected of someone in their field. For example, a contractor who installs faulty wiring that leads to a fire could be accused of negligence.
Errors
Mistakes in your work can happen to anyone, but for professionals, they can be costly. An errors and omissions insurance policy covers errors, such as design flaws, inaccurate calculations, or incorrect advice that result in financial loss for the client.
Omissions
Sometimes, it’s not what you do, but what you fail to do that causes problems. Omissions covered by Errors & Omissions Insurance Ontario cover: failing to perform a necessary task, providing crucial information, or meeting a deadline, leading to a client’s financial loss.
Misrepresentation
Providing misleading statements or inaccurate advice can also trigger errors and omissions insurance claims. This can happen if a professional overstates their qualifications or makes promises they can’t keep, resulting in a client’s financial loss.
Defence Costs
E&O Insurance Ontario can provide vital financial support during legal disputes. It can cover the costs of hiring a qualified attorney to defend you in court, as well as other legal expenses, such as court fees, expert witness fees, and deposition costs.
Who Can Benefit From Errors and Omissions Insurance?
Errors and Omissions Insurance coverage isn’t limited to a specific industry or profession. Any business or individual providing professional services or advice can potentially face claims arising from errors or omissions in their work. Therefore, many professionals can benefit from the protection offered by E&O coverage.
Here are some examples of professionals that need this insurance:
- General Contractors
- Construction Managers
- Architects
- Engineers (Civil, Structural, Electrical, Mechanical, etc.)
- Interior Designers
- Landscapers
- Plumbers
- Electricians
- HVAC Technicians
Why You Need E&O Insurance Ontario
The construction industry in Ontario is fraught with risks. Even the most diligent contractors can face claims due to errors, omissions, or negligence. These Errors and Omissions Insurance Ontario claims can lead to significant financial losses, impacting your business’s bottom line and reputation.
Errors and Omissions Insurance Claims Example
Claims Example #1
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An electrical contractor installs wiring that doesn’t meet code requirements, leading to an electrical fire that damages the property and injures an occupant.
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E&O Insurance covers the costs of property damage repair, medical expenses for the injured occupant, and legal defence costs if the contractor is sued for negligence.
Claims Example #2
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A plumbing contractor installs a faulty pipe that bursts, causing water damage to a client’s home and belongings.
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Errors and Omissions Insurance covers the cost of repairing the water damage to the client’s property and replacing any damaged belongings. It also covers the legal costs if the client sues the contractor for negligence.
Claims Example #3
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A general contractor fails to properly supervise a subcontractor, who then causes damage to neighbouring property during construction.
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E&O Insurance Ontario covers the cost of repairing the damage to the neighbouring property and any legal fees incurred if the property owner sues the general contractor for negligence.
Leading Provider of Contractors E&O Insurance in Ontario
One of the main reasons we’re an award-winning commercial insurance provider is that we always put our customers first. Contractors Insurance provides specialized policies for its clients with benefits, such as those outlined below.
Personalized Insurance Plans
Because our Errors and Omissions Insurance Ontario policies are fully customizable, you only pay for the errors and omissions coverage your business needs. No more costly and unnecessary riders when you purchase from a reputable omissions insurance errors insurance provider, such as Contractors Insurance.
Utmost Transparency on Coverage and Limitations
Our team of experts will walk you through how your E&O Insurance insurance policy works. They’ll also provide full transparency on the triggers and your policy’s limits and exclusions.
Thorough and Straightforward Insurance Education
Our clients are more than our customers—they’re our business partners. We’ll be your trusted insurance partner and provide expert advice on all your Errors and Omissions Insurance policy needs to maximize your coverage.
Get a FREE QuoteFrequently Asked Questions About E&O Coverage
E&O Insurance primarily covers claims arising from errors, omissions, or negligence in your professional services. This liability coverage includes:
- Legal defense costs
- Settlements and judgments
- Investigation costs
- Public relations costs
Errors & omissions is another name for professional liability insurance. Both refer to the same policy and cover contractors for mistakes or negligence in services. The term used only varies per industry.
Errors and omissions insurance cost vary depending on several factors, including:
- Profession: Some professions are inherently riskier than others, leading to higher premiums.
- Revenue: The more revenue your business generates, the higher the potential liability, and thus, the higher the premium.
- Coverage Limits: Higher coverage limits naturally translate to higher premiums.
- Deductible: A higher deductible generally means a lower premium.
- Claims History: A history of claims can lead to higher premiums.
Ready to Get The Appropriate Coverage You Need?
Don’t leave your livelihood to chance. Protect yourself with Errors and Omissions Insurance Ontario from Contractors Insurance.
Our award-winning team of experienced insurance brokers understands the complexities of the construction industry and can tailor an E&O Insurance Ontario policy to meet your specific needs. We’ll guide you through the process, answer your questions, and ensure you have the right coverage to safeguard you with business insurance.
Contact Contractors Insurance today and let’s build a protection plan together.