Tips from your broker - THINK YOU HAVE ERRORS & OMISSIONS COVER UNDER YOUR GENERAL OR PUBLIC LIABILITY POLICY? THINK AGAIN.
Unfortunately, not all Errors & Omissions cover is created equal. If your public liability insurance includes a clause called Errors & Omissions Liability you need to read what it actually covers. More than likely this simply refers to a standard clause for free advice you give, or medical treatment you might give in an emergency. All policies have it, just under various names.
It is NOT the Errors & Omissions Indemnity (E&O) cover you may have heard about and that builders should have. E&O covers your liability for mistakes, or breaches of your duty of care, that you’re held responsible for and that cause clients (or other third parties) a financial loss. If in doubt, call us.
E&O is equivalent to Professional Indemnity insurance that other professionals have, including your architect, engineer, accountant & lawyer. And in our view it’s now needed by builders too.
For more information on E&O cover visit: www.cbainsurances.co.nz/eando.