Get the Lowdown on Errors and Omissions Insurance

When you’ve poured time, money, and creativity into a project, the last thing you want is a lawsuit threatening your release. That’s where errors and omissions insurance—or E&O insurance—comes in.

An E&O policy is a key part of any production company’s insurance coverage. It protects you from costly claims that can arise after your film or series is complete and ready for distribution. From copyright infringement to defamation, this coverage is designed to help producers, distributors, and filmmakers protect their work, their finances, and their reputations.

Let’s take a closer look at what E&O insurance coverage is, why it matters for filmmakers, and how to get it.

Understanding what errors and omissions insurance is

Errors and omissions insurance—sometimes called professional E&O insurance or E&O liability insurance—protects producers and production companies against financial loss from certain types of legal claims.

In the simplest terms, an E&O insurance policy covers the cost of defending your project against allegations of:

• Copyright or trademark infringement
• Libel, slander, or defamation of character
• Invasion of privacy or misrepresentation
• Unauthorized use of names, likenesses, or materials
• Breach of implied contract or professional negligence

If a lawsuit is filed over something in your finished work—like a music cue that wasn’t cleared, a true-story subject who feels misrepresented, or an image used without permission—E&O coverage helps pay for your legal defense, settlements, and any court-ordered judgments, up to your policy limit.

Unlike General Liability insurance, which covers physical risks during production, errors and omissions insurance protects you from intangible risks that appear after your project goes public.

How errors and omissions insurance works in film and TV

In the entertainment industry, E&O insurance coverage is required for almost every project that’s going to be distributed. Distributors, sales agents, and streaming platforms won’t release a film or show without proof of E&O liability insurance—it’s standard practice to ensure they’re protected from any potential claims tied to your content.

For example:

• A documentary filmmaker could face a defamation lawsuit from a subject who disagrees with how they were portrayed.
• A producer might be sued for using footage, logos, or artwork that wasn’t properly licensed.
• A distributor could face legal action over unlicensed music or a script element alleged to be copied from another work.

Even unfounded claims can be expensive to fight. Legal fees alone can climb into tens of thousands of dollars, and without an E&O policy, those costs come out of your production budget—or worse, your pocket.

What errors and omissions insurance covers

Every E&O insurance policy varies slightly, but most provide coverage in three key areas:

• Legal defense costs – Attorney fees, court costs, and related expenses
• Judgments – Court-ordered payments to plaintiffs, up to your coverage limit
• Settlements – Agreed-upon payments to resolve disputes outside of court

Typical policy limits for independent films or television projects start around $1 million per claim and $3 million in aggregate coverage, with optional higher limits depending on your distributor’s requirements.

What errors and omissions insurance doesn’t cover

As with any insurance coverage, there are exclusions. E&O policies won’t protect against:

• Intentional misconduct, fraud, or criminal activity
• Breach of contract unrelated to intellectual property or creative content
• Employment-related disputes (covered by employment practices liability insurance)
• Bodily injury or property damage (covered by general liability or workers’ compensation insurance)

Your broker will walk you through these limitations and help you understand what’s included—and what’s not—before you finalize your E&O insurance quote.

Who needs errors and omissions insurance in film

Not everyone on a film set needs their own E&O insurance policy, but it’s essential for the entities that hold creative control and distribution rights. You’ll need E&O coverage if you are:

• A producer or production company responsible for delivering a final cut
• A distributor or sales agent handling the release or licensing of a project
• A writer or director working on projects based on real events or existing materials
• A financier or investor seeking to protect your stake in the project

If your project is bound for television, theatrical release, or streaming platforms like Netflix, Hulu, or Amazon Prime, having a valid E&O policy isn’t optional—it’s a requirement.

How much errors and omissions insurance costs

The cost of errors and omissions insurance depends on several factors:

• Budget and scope of your production
• Distribution plans (domestic vs. international)
• Number of episodes or deliverables
• Desired policy limits and term length
• Claims history or prior litigation

For independent projects, E&O policies often range from $2,500 to $10,000 for a standard three-year term with a $1 million limit. Larger productions with global distribution or complex rights issues may pay significantly more.

While E&O premiums add to your production costs, the protection they provide can prevent financial ruin if legal issues arise after release.

How to get errors and omissions insurance

Getting an E&O insurance quote is straightforward. Here’s what the process typically looks like:

1. Contact a broker – Work with an insurance provider familiar with the film and entertainment industry.
2. Provide documentation – You’ll likely need to submit your script, music cue sheet, chain of title, and any release forms or licensing agreements.
3. Review your quote – Your broker will present policy options, coverage limits, and premium costs based on your project’s needs.
4. Finalize and maintain coverage – Once you purchase your E&O policy, keep it active throughout your project’s distribution window.

Some production companies bundle their E&O coverage with annual DICE policies to simplify renewals and protect multiple projects under one plan.

How long errors and omissions insurance lasts

E&O insurance typically runs for three years, covering the period when most claims are likely to occur. However, because films and series can continue generating revenue long after their release, you may need to extend your policy.

Most providers offer options to renew or extend coverage, often called a “tail policy,” ensuring your project remains protected as long as it’s in distribution.

Wrapping up

Errors and omissions insurance is one of the most important pieces of your production’s risk management plan. It protects your project long after wrap day—when the biggest risks shift from what happens on set to what happens after release.

Before your film or series reaches an audience, make sure your E&O policy is in place and tailored to your project’s specific needs.

Reach out to Wrapbook’s insurance specialists for guidance or a personalized errors and omissions insurance quote to keep your production protected from start to screen.