Professional Liability (E&O) Insurance for Registered Agents

We provide errors and omissions (E&O) insurance, also called professional liability insurance, to registered agents.

A registered agent is a person or an entity that is retained by an LLC, a corporation, or a partnership to handle correspondence from the government and to receive service of process. Because registered agents are responsible for forwarding important compliance and legal documents to their clients on a timely basis, they face the possibility of being sued by a client for negligence if the client was not properly provided such documents and incurred a financial loss as a result.

It is important for registered agents to carry E&O insurance. There are many scenarios where a registered agent could be sued, including the following:

• A registered agent receives summons and a complaint against a client and fails to notify its client on a timely basis. A default judgment is entered agains the client.
• A registered agent receives notice of a tax delinquency against its client and fails to notify the client, resulting in a large tax penalty against the client.
• A registered agent fails to notify the client that the business registration needs to be renewed and the business license is canceled by the state. The business is later sued for operating without the proper licensure.
• A business is sued and the attorneys decide to include the registered agent as a defendant.

Give us a call to discuss your registered agents professional liability E&O insurance needs.