As an automotive dealer, you know that there is a lot of risk involved in your business. You need to make sure that you protect yourself with the right type of insurance coverage. Errors and omissions (E&O) insurance is a must-have for any automotive dealership.
Read on to learn more about E&O coverage and why it’s so important for auto dealers.
What Is E&O Insurance?
Errors and omissions insurance is a type of professional liability insurance that protects your dealership from lawsuits related to negligence, errors, or omissions in providing services or products to customers. It covers defense costs as well as settlements or judgments against your dealership. This type of insurance can be beneficial for any business that provides advice or services,
including automotive dealerships.
Why Do You Need E&O Coverage?
As an auto dealer, you have a lot of responsibility when it comes to servicing vehicles,
providing warranties, and handling customer complaints. If something goes wrong—even if it’s not your fault—you could end up facing costly litigation. This is why E&O coverage is so important; it offers protection against lawsuits resulting from mistakes or negligence on your part as well as those of your employees or contractors.
In addition to protecting against errors made while providing services or products to customers,
E&O coverage can also provide protection from claims related to advertising injury such as copyright infringement and libel/slander. It may even provide protection for certain types of cyber liability claims in some cases(although this should be discussed with your insurance provider).
Having the right type of insurance coverage is essential for any automotive dealership.
Errors and omissions (E&O) insurance can offer valuable protection from expensive litigation resulting from mistakes made while servicing vehicles, providing warranties, handling customer complaints, or advertising products and services online. Make sure you speak with an experienced independent agent about getting the right E&O coverage for your specific needs today!
https://www.investopedia.com/terms/e/errors-omissions-insurance.asp
https://oklahoma.gov/oumvdmhc/dealers/motor-vehicle-online-forms.html