When you work as a certified public accountant, you’ll handle a lot of money. For example, you might calculate taxes for multiple customers. They expect you to do your work professionally and provide a safe environment to visit. If you make a mistake that harms a customer, what can you do to help them?
With liability insurance, you’ll be able to respond to mistakes impacting clients. Thus, you’ll be able to protect both the affected parties and the business’s assets. In the end, this coverage will put the business in a much more trustworthy position.
Commercial General Liability Insurance
Let’s say that one of your clients visits your office to drop off some tax documents. However, while inside, they slip on a puddle of spilled water, fall and receive a serious injury. They might face medical bills, lost income and pain and suffering. They might even sue your office for these negligent losses. Therefore, you’ll have to respond to such losses.
Liability insurance of various types might help you in this regard. Coverage exists to cover the damage that the insured party causes to another. A payout can aid the affected party. However, it will also keep the business from suffering significant financial losses.
Most CPAs need a general liability policy. Often, you’ll find this coverage within your own business owners policy (BOP). It will usually cover:
- Bodily injuries a client sustains through interactions with your business. The slip and fall in the above example is a case of why you need this coverage.
- Property damage that you cause to another individual’s belongings. For example, if you break someone’s computer, you can pay them to replace it.
Yet, for CPAs, this coverage might not prove all the protection you need. More than just injuries or property damage can occur through your work. So, you might need to augment your coverage.
Additional Liability Protection
Once you have general liability coverage, ask your agent if you need extra protection. More-tailored coverage for CPAs might include:
- Cyber liability insurance: Covers you in case data theft or losses expose or destroy sensitive customer information.
- Errors & omissions (E&O) insurance: Clerical mistakes might lead you to mess up someone’s taxes, for example. This might cause them a financial loss. E&O insurance can help can help you repay these costs.
- Advertising injury coverage: Insures you in case your promotional materials unfairly affect another party. You can settle with them for the damage.
The liabilities within your office might prove numerous. Talk to your insurance agent at 888.512.8878 about the forms of liability coverage you might need. The more you have, the better your protection might prove.