Errors and Omissions Insurance 

Errors and Omissions Insurance, sometime referred to as Professional Liability Insurance is very similar to your doctor's Malpractice Insurance.

If your inspector were to make a serious error in judgment, E&O insurance may protect both YOU and the inspection company from financial hardship.

AccuSpec's E&O Insurance protects our clients, those who refer us to our  clients, our inspectors, and our company.

For example, if your inspector were to report that the roof shingles were in satisfactory condition AND you could show that the roof shingles actually were at the end of their life and were clearly in need of replacement at the time of the inspection, then  you may have a claim against the inspection company.

Most inspection companies are small businesses with limited, if any, assets. You've heard about "squeezing blood out of  a turnip." In the above example you may be asking the company for $5000 to $6000 for roof shingle replacement, and the company may simply not have the money available. You cannot get what someone does not have, so without E&O your claim may not be satisfied.

E&O Insurance is expensive. It costs the companies that carry it thousands of dollars per year. AccuSpec inspectors are required to carry it. AccuSpec views carrying E&O as part of a sound risk management and customer satisfaction program.

Notice - Almost all inspection companies have an inspection contract that limits the company's and the inspector's liability to the amount of the inspection fee. This limitation applies to errors and omissions in judgment as well as outright negligence. If the terms of the contract are upheld, then the client in the above example would only be entitled to a refund of the inspection fee. If the contract were thrown out by a judge or a jury or a different settlement was negotiated with the company, then the company may rely on its E&O Insurance for financial assistance to settle the claim.

AccuSpec gives its clients a choice. Our standard (published) inspection fee includes the limitation of liability as described in the previous paragraph. However, for an additional fee (currently 2 x standard) AccuSpec liability can be increased to $50,000.  You may read our contract if you have Acrobat Reader installed.