RIA in a Box is offering E&O insurance for a discounted price, only to its clients, with premiums starting at $1,250.
Errors and omissions insurance is not required, although it is strongly recommended for all RIAs.
RIA in a Box says many firms choose not to get the insurance for a few years once a practice is up and running, because of the costs involved. However, everything the firm worked on before the insurance was purchased is not covered by a newly-purchased plan – which can be detrimental if something goes wrong.
“This insurance can really be very important if there is ever a problem which crops up, because without it an RIA could really be put out of business” said Tom Schrandt, Vice President, NAPLIA.