As a CPA even though you’re committed to accuracy, mistakes can still happen. Many may be minor, which can easily be fixed before they cause even more problems. However, one major mistake may cost your firm a lot of money to make it right. Some businesses don’t carry CPA professional liability insurance, which puts them at risk for costly lawsuits. Here are five excellent reasons you should have this errors and omissions E&O) insurance for your business.
- Clients with large accounts may require E&O insurance to get their business. You could lose out on the opportunity to obtain a major business proposition.
- The risk of lawsuits is too real in American society.
- Your clients won’t hesitate to take legal action. You cannot rely on their good will if you make a mistake that costs them money.
- Defense costs are expensive. Even if your firm isn’t too blame, just defending yourself could bankrupt you.
- CPA professional liability insurance protects your financial future and your current assets. Your insurance specialist is there to assist you in providing risk management.
Don’t underestimate the need for CPA professional liability insurance of your business. It’s an important part of your business plan that gives you peace of mind. During tax season, when things get busy, it’s all too easy to miss a deadline or not include one document in a stack of hundreds of papers that are required. Protect your business with a complete insurance portfolio that includes the risk management strategy your organization requires.