• Error and omission insurance for data processors provides liability for errors and omissions in the performance of data processing for third parties on a fee basis. Coverage is usually in the form of an application. The policy does not cover liability for personal injury (BI) or property damage (PD), which may create a coverage gap for certain data processing applications, such as medical analysis, where an error in a diagnostic computer program triggers a BI. In addition, when one entity provides services to subsidiaries or its own subsidiaries, coverage generally does not cover claims for errors and omissions (E&O) by those companies or subsidiaries.