When you manage a business, you work hard to make sure your whole team, from office workers to management, is competent. Competence alone, however, is not enough to protect you from litigious clients. When you purchase omissions insurance for managers, you guard against not only the cost of mistakes that could happen but also the threat of being sued. While it logically follows that a competent manager will not be sued as often as an incompetent one, how well you do your job is not enough to protect you from the possibility of a lawsuit.
Clients do not have to prove negligence on your part to sue you. They can take you to court, forcing you to retain counsel to defend you, even if their complaint is utterly unfounded. Even if the court decides in your favor, your attorney does not work for free. Without omissions insurance for managers, you are left paying legal fees on your own, which could devastate your working capital and drastically affect your business.
No matter how good you are at your job or how much you trust your clientele, it is still smart to invest in an omissions insurance policy. A qualified agent can advise on the right coverage that fits your budget so that you can continue business as usual even if you are taken to court.