Why Insurance Matters for Tax Professionals
To get right to the point, Taxfyle does not require a tax professional to carry insurance. However, as a tax professional, you understand the importance of providing reliable and accurate services to your clients. Despite your best efforts, mistakes can happen. That's why it's important to consider the significance of obtaining errors and omissions (E&O) insurance for your practice. This insurance coverage can safeguard you or your company in situations where a client holds you accountable for a service that didn't meet their expectations.
E&O insurance protects you in cases where a client suffers financial losses or damage to their reputation due to a service you provided or failed to provide. It can provide coverage for legal expenses, settlements, or judgments if a client files a claim against you. Whether it's an error in preparing tax returns or missing a filing deadline, having E&O insurance can offer peace of mind and financial protection.
While Taxfyle supports your decision regarding insurance coverage, it emphasizes the importance of maintaining the necessary safeguards to ensure a secure and successful tax practice.
Taxfyle does not currently offer E&O insurance, however, it's essential for tax professionals to recognize its value. By obtaining this insurance independently, you can mitigate potential risks and protect yourself from liabilities that may arise during your practice.