Professional Liability & E&O Insurance for Michigan Accountants

Professional liability insurance, also called errors and omissions (E&O) insurance, helps protect accounting professionals against covered claims involving alleged mistakes, omissions, or negligence in their services. An error in tax preparation, financial reporting, or professional advice can lead to costly disputes, even when a claim is unfounded. Depending on the policy, coverage may help with legal defense costs and covered damages. PCIA can help you explore options based on the services your firm provides.

Your renewal is an opportunity to check whether your coverage still reflects your practice. Changes in revenue, staffing, client types, or services can affect your insurance needs. It is also important to review limits, deductibles, exclusions, prior acts coverage, and claims-reporting requirements. Accountants’ E&O policies are commonly claims-made, so timing and continuity matter. PCIA can help you evaluate these details and discuss available options before making changes to your coverage.

Tax preparers and bookkeepers can face claims involving alleged filing errors, missed deadlines, inaccurate records, or other mistakes in their professional services. Even a small practice may face significant expenses defending a claim. Professional liability insurance may help address these exposures, but covered services and exclusions vary by policy. PCIA can help you explore whether available coverage fits your work, whether you operate independently or as part of a larger accounting firm.

Accounting firms handle sensitive information, including tax returns, payroll records, and banking details. A data breach, ransomware attack, or compromised email account can create expenses and liabilities that professional liability insurance may not fully address. Cyber insurance can provide separate protection for certain incident-response costs and third-party claims, depending on the policy. PCIA can help your firm review its data-related exposures and evaluate how cyber coverage may complement its professional liability insurance.