What is Professional Liability Insurance?

Professional Liability, otherwise known as E&O insurance, protects your business against claims of negligence, misrepresentation or mistake. Typically, the allegation is that your services, products or employees caused some form of financial damage to a third party.  Regardless of fault, litigation is expensive, drains time and damages reputation.  Professional Liability insurance can protect professional service providers from potentially devastating financial damages resulting from alleged negligence or error in the delivery of your services.

Coverage is provided for:

  • Attorney fees and other legal expenses
  • Costs and expenses related to a settlement
  • Costs and expenses related to a judgment

Professional Liability Insurance often is the most important type of insurance that a company can purchase, as it protects the individuals and the company from potentially catastrophic litigation costs associated with claims relating to negligence or product failure. 

We are INSURED!!! You can see our Certificate of Professional Liability Insurance.

Doesn’t my General Liability insurance policy cover the same exposures?

Most often it does not. General Liability insurance covers claims relating to bodily injury and property damage of others and typically excludes claims related to the delivery of professional services. The liability risk associated with your professional errors, omissions, and negligence can be far greater than those risks covered by a General Liability policy.