Call Us: (800) 530-4448

Call Us: (800) 530-4448
Call Us: (800) 530-4448

Yes, Security Professionals Need Professional Liability Coverage

Yes, Security Professionals Need Professional Liability Coverage

You perform your services with precision and reliability and you have complete confidence that your systems work as advertised. You have never had any incidents.

But you still need Professional Liability (also called Errors & Omissions or E&O) insurance. No matter how confidently you perform your job, the execution of the job exposes you to risks that could be devastating if you’re not properly protected.

Helping Others Mitigate Risk Can Be Risky

In this industry, companies face serious risks that could threaten the assets and the financial stability of your business.  Whether you sell, install, or monitor burglar, fire alarms or other security systems, or you install them as a sub-contractor, you have a great deal of responsibility for ensuring that alarms and monitoring services perform as promised.  At the same time, even if you have the benefit of a well written contract, you also face the potential cost of legal defense if a damaged customer brings litigation. Professional liability insurance, also called Errors and Omissions insurance (E&O insurance), protects firms if they are ever sued for negligently performed services.

Don’t Assume General Liability Covers All

One of the mistakes many alarm companies make is in assuming that general liability insurance covers you in the event of a lawsuit for services rendered. It is likely that there are gaps in coverage that would not cover such an incidence.

What Professional Liability Insurance Covers

Professional liability insurance protects your business against actual or alleged errors or omissions that may have occurred during the rendering of service. These claims can include:

  • Alarm providing wrong or omitting information leading to loss
  • Failing to notify AHJ within a desired timeframe leading to loss
  • Negligent programming leading to false alarms causing non-response leading to loss
  • Alarm sending false-positive signals leading to ignoring signals leading to bodily injury
  • Bodily injury at a premises where private security response is provided
  • Damage to client’s property
  • False arrest / detainment

Not every insurance agency understands the needs of the alarm industry. Eclipse Insurance and Risk Management provides comprehensive insurance and customized risk management solutions tailored to the alarm industry. Call us today for more information! 800-530-4448


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