Owning a respectable business means you will get a lot of customers in most cases. This also means that, sometimes, you’ll run into tricky situations where your clients might file a negligence claim against you that, although might have no real basis, could harm your business’ finances and reputation.

professional liability insurance Colorado coverages

Getting a full coverage professional liability insurance Colorado policy (also known as errors and omissions insurance) can help a great deal with fighting against these types of claims. This type of insurance policies is designed precisely to help businesses tackle negligence claims and protecting them from the full financial brunt of covering the costs associated with such claims.

Let’s say you own a cleaning service, and one of your customers claimed that your cleaning technicians  damaged an already used and damaged item on their property. Proving that the damage wasn’t done by your workers might be very difficult, and your business could end up having to pay a hefty sum to cover the damage, after the matter is handled by civil lawsuit.

Professional liability insurance was designed expressly for these types of situations. With it, businesses can not only cover the costs of some or all of the damages, but might even gain support for defending their legal rights when the legal action involved might turn out to be entirely groundless.