E&O Insurance for Travel Agents

Liability insurance for travel agents and travel agencies includes the following coverages:

• Errors and Omissions (E&O) Insurance: Also called professional liability insurance, travel agency E&O insurance covers claims related to errors, mistakes, miscommunications, failing to deliver a service as promised, or allegations of professional negligence while booking travel arrangements for customers.
  
  It typically includes financial support for travel agents’ legal costs and damage claims related to their professional services and media and advertising services if you are sued for defamation (libel or slander).

Other coverages for travel agents to consider:

• Commercial General Liability (CGL) Insurance: CGL, or general liability, covers third-party bodily injury and property damage claims caused by your agency’s usual operations or public events. For instance, if a customer trips, falls, and is injured in your office, CGL is designed to pay for the injured person’s medical and rehabilitation expenses. If a travel agent or travel agency is sued, CGL pays for their legal defence and any compensatory damages settled out of court or ordered by the court up to the policy limit.

• Commercial Property Insurance: Commercial property insurance protects a travel agency’s office and business contents (furniture, electronics, office equipment) from damage and loss caused by fire, internal water damage, a natural disaster, theft, and vandalism.
  
  It may also include business interruption insurance to cover lost income following an insurable loss, such as a fire, while the agency is temporarily closed for repairs. This coverage can be added to a commercial property policy if not automatically included.
  
  For independent, home-based travel agents, commercial property insurance or business contents insurance is a wise investment to protect your office and business-related contents.

• Cyber Liability Insurance: Travel agents and travel agencies operate online and are exposed to the risk of a cyber-attack or data breach. Cyber liability insurance covers damages and losses from a cyber-related event, including phishing and ransomware attacks.
  
  It provides funds for legal advice, notification and credit monitoring fees, restoration of an agency’s software, and coverage for losses sustained due to a systems outage following a cyber-attack.