You Made An Error On Your Tax Returns: Does Tax Insurance Help?

Preparing your own taxes is often a wise choice if you know what you are doing. However, we at Five Star Insurance Agency have seen too many Fords, NJ area residents make mistakes that cost them serious cash. Will tax insurance cover your needs or is it just for professionals?

Tax Insurance is a Broad Type

Tax preparation experts typically have to purchase some type of liability insurance to protect themselves in case they make a mistake. That’s because it is very easy for a single error to cost hundreds, or even thousands, of dollars for their customers.

With tax insurance, they are safe from paying liability charges in a lawsuit because their insurance will pay most of it for them. That said, even individuals who prepare their own taxes but who don’t own a preparation business can buy insurance to help pay for their own mistakes.

There are Multiple Types of Coverage

If you are a tax preparation expert, you can get single-practitioner coverage for your business. However, if you run a company with multiple preparation experts, you should get multi-practitioner insurance. This covers you in case anybody makes a mistake in your business.

Just as importantly, you can get single coverage for yourself if you are doing your own insurance. This type of insurance policy is offered by multiple providers, meaning you can shop around a bit and find the one that is right for your needs.

Don’t Get Caught Without Coverage

So if you are a tax prepare or somebody who does their own taxes, it is wise to invest in high-quality tax insurance from us at Five Star Insurance Agency. We can help you and other people in the Ford,s NJ area get the tax insurance you need to prevent serious errors and costly mistakes that can cost you big bucks.