Professional-liability insuranceis of increasing importance—and popularity—in today's economicclimate as more and more people become self-employed. Agents whohave clients providing professional services to others need to knowthat this coverage is a necessity, especially given our society'squick-to-sue mentality.

Miscellaneous errors and omissions, technology errors andomissions, and cyber and privacy liability are but a few lines nowtrending in the professional-liability marketplace.

Miscellaneous E&O, in fact, is spearheading growth in theprofessional-liability arena—it's hotter now than it has ever been.Why?

With the global economy still suffering, businesses have beenforced to re-evaluate their operations and cut expenditures toincrease their bottom line. Unfortunately, one of a company'slargest expenses is its employees, and firms have downsizedaccordingly.

Many of these experienced professionals have now gone intobusiness for themselves, and this has increased the volume ofprofessionals in the workplace who need miscellaneous E&Ocoverage. This line of coverage is critical for professionalscharging for their services because:

1. It provides coverage for mistakes and negligence that occurduring the course of services which result in a financial loss forthe client.
2. It covers the costs of defending a lawsuit and the resultingcivil damages awarded when the insured is sued for an error or anomission.
3. It provides coverage where commercial general liability andother liability policies do not.
4. Nobody is perfect—the smallest oversight during businessoperations can cost a customer hundreds of thousands ofdollars.
5. Today's soft market makes finding ample coverage facile andaffordable.

Some of the most popular miscellaneous E&O classes:business/management consultants, financial consultants, homeinspectors, property preservationists, real estate agents/brokersand mortgage brokers.

IT E&O

Technology E&O is another type of professional-liabilityinsurance whose appeal is growing. From the latest mobile app tothe flashiest e-commerce website design, technology can make orbreak a company in today's competitive economy.

And when small businesses wish to implement such advancedsystems, they frequently call upon various technology firms forassistance. And it is crucial that these outside tech companiescarry technology E&O for the following reasons:

• Broad tech policies will cover any negligence relating to theinsured's business activities (including transmission ofviruses).
• Breaches of contractual warranties due to software or hardwarenot conforming to required specifications will also becovered.
• The insured will be protected from intellectual-propertyinfringement and personal-injury claims.
• Tech policies will often defend even against groundlessclaims.
• Policy wording and endorsements can often be customized to fitspecific risks and mitigate unique exposures.
• With multiple, aggressive markets presently writing this lineof insurance, premiums are cost effective.

Popular insurance classes within tech E&O:IT consultants, custom-software developers, data processors,Internet-service providers and website designers.

Cyber Coverage

Cyber-liability insurance is also very popular right now.Everyday business transactions are routinely associated with theprocessing, storage and maintenance of databases that containsensitive customer or patient information. When companies handlesuch information, the need for cyber- and privacy-liabilityinsurance is critical because:

• Sensitive information is subject to loss by employees or theftby first or third parties.
• The costs to businesses to appropriately respond to and remedyincidents are staggering.
• These policies provide coverage for any breach of data,privacy, confidentiality or violation of consumer-protectionlaws.
• Policies will respond by having a dedicated team of forensicand legal experts evaluate situations and formulate actionplans.
• Loss-prevention services will be implemented, and affectedparties will be notified; credit monitoring and fraud-resolutionservices will be provided.

Popular cyber classes: banks, insurance agents, restaurants,retail stores, online businesses, hospitals, doctors and dentistsoffices.

If your clients are providing professional services,professional-liability coverage is a must. With premiums forprofessional coverages at all-time lows, the question is notwhether your clients can afford it; it is whether they can affordnot to have it.