Freight Broker Insurance
Broker Errors & Omissions
Covers claims that a mistake in your brokerage services cost a customer money.
What It Is
Errors and omissions coverage, also called professional liability, covers claims that a mistake, oversight, or failure in your brokerage services caused a customer a financial loss. For freight brokers, that can include errors in arranging shipments, billing, documentation, or following a customer’s instructions.
What It Typically Covers
- Claims that a mistake in your services caused a financial loss
- Legal defense against covered claims, which can be costly even when you did nothing wrong
Common Gaps to Watch For
- Injuries and property damage typically belong to general liability and contingent auto, not E&O.
- Cargo losses usually need cargo coverage.
- Intentional acts and fraud are typically excluded.
- Claims-made policies. Many E&O policies cover only claims made while the policy is active, so avoid gaps in coverage.
Who Usually Needs It
Freight brokers and 3PLs. Shippers increasingly ask for it in contracts.
What Underwriters Consider
- Revenue and services offered
- Your contracts and what they promise
- Processes and controls
- Your claims history
Questions to Ask
- Is my policy claims-made, and what is my retroactive date?
- What kinds of errors are covered?
- Are defense costs inside or outside the limit?
- Do my customer contracts require E&O?
All coverage is subject to policy terms, conditions, and exclusions.
Last reviewed: November 1, 2026
If You Win, We Win.
Every business deserves an agent who understands its operation, represents it honestly, and stays engaged after the policy is bound.
Licensed in Illinois.