Most people know the basics about EO insurance, however there are a few little known facts that can have an effect on you and your business. There are 3 main facts that you should know about when considering EO insurance in New Jersey.
1. Lawyer is Not Always Included
One might be surprised to find out that some policies do not include provision of a lawyer. If you would rather not have to search for your own lawyer in your time of need, this is one aspect you should ensure the policy you choose includes.
2. Insurer May Not Always Defend You
There are two clauses that you want to be aware of:
- Right and Duty to Defend: the insurer is legally obligated to defend you against any claim
- Right to Defend: the insurer can deny legal defense in certain cases
You should be aware of these clauses in the policies you are considering and be sure to select the option that works best for you.
3. Your EO Track Record Could Affect Your Rates
It is no mystery why companies with lower risks receive lower rates. You can help secure and maintain reasonable rates by employing good company practices and maintaining a clean claims history.
Knowing and utilizing these little known facts can help you to select the right EO insurance in New Jersey and secure the future of your business.