Professional Liability (E&O) Insurance
Protect yourself with Professional Liability insurance
When you make a living off your expertise, you need comprehensive, cost-effective insurance to protect you financially from damages or legal costs that may arise.
Getting Professional Liability coverage is simple
Just provide a few pieces of information about your business, online at your convenience, and we'll display a Professional Liability insurance quote. When you're ready to buy, you can do so online or over the phone. You can make payments, set up a payment plan, or submit claims online, as well.
What is Professional Liability (E&O) Insurance?
As a professional, it's your responsibility to adhere to certain standards and best practices for your industry. If a client feels that you made a mistake or oversight with your services, they could claim that you didn't meet those standards and sue your company for economic damages.
Errors and Omissions insurance protects you in the event that a client accuses your business of making a mistake (an error) or failing to do something (an omission) — even if that claim proves to be unfounded.
What Does Professional Liability (E&O) Insurance Cover?
Professional Liability (E&O) insurance from CFT Pay Insure helps protect your business if you made a mistake (error) or failed to perform a service (omission). Professional indemnity insurance, another name for Professional Liability (E&O) insurance, also covers the related defense costs, even from groundless claims.
In each instance, Professional Liability (E&O) insurance covers the costs for legal defense and damages. Plus, CFT Pay Insure provides an attorney to represent you. CFT Pay Insure also covers client damages — including punitive damages, if permitted by law in your state. Punitive damages can be quite high, as they are assessed by courts on top of other damages. This is an effort to punish those allegedly at fault even further. If your state allows these damages to be covered by an insurance policy, CFT Pay Insure covers up to the policy limit.
Small Business Insurance Experts
CFT Pay Insure has over 1 million satisfied customers and focuses exclusively on small businesses. There are many reasons why so many organizations rely on us.
Save time.
Get a quote entirely online or speak with one of our insurance experts right away for help getting a quote, buying a policy, or answering any questions you may have.
Save money.
We insure your small business directly, without a middleman or insurance broker, so we pass that savings on to you — up to 20% less than policies with other insurance companies.
Experienced.
We're part of the Berkshire Hathaway Insurance Group with millions of satisfied customers, more than 75 years of insurance experience, and $62 billion in paid claims in 2025.
Who Should Consider Professional Liability (E&O) Insurance?
If you provide what could be classified as a professional service, if you typically give advice to clients, or if you're obligated by a contractual agreement, you should consider carrying Professional Liability (E&O) insurance. As one of the country's leading small business insurance companies, we cover individuals and organizations in a wide range of industries, including:
- Accountants
- Advertising consultants
- Answering services
- Architects and engineers
- Audio/visual consultants
- Barbers and beauticians
- Billing services
- Bookkeepers
- Business management consultants
- Certified financial analysts
- Claim administrators
- Communications/media/public relations consultants
- Compensation and benefits consultants
- Corporate trainers
- Dog groomers
- Educational consultants
- Executive coaching consultants
- Funeral directors
- Graphic designers
- Home inspectors
- Image consultants
- Insurance agents
- Interior designers/decorators
- IT consultants
- Journalists/broadcasters
- Landscape architects
- Loss control inspectors
- Market research consultants
- Notaries
- Optical and hearing aid professionals
- Personal trainers
- Photographers
- Printers
- Procurement consultants
- Project management consultants
- Real estate agents and brokers
- Recruiting consultants
- Sales and marketing consultants
- Security guards
- Social workers
- Software companies
- Strategic planning consultants
- Training and development consultants
- Travel agents
- Tutors
- Veterinarians
Professional Liability (E&O) Offers Protection Beyond Claims
Depending on the coverage you choose, Errors and Omissions insurance can protect against more than just claims related to errors, omissions, or negligence. Other protections can include:
What's Not Covered by Errors and Omissions Insurance?
Professional Liability (E&O) insurance is fairly comprehensive. However, there are a few things that aren't covered with your policy. For starters, CFT Pay Insure and other typical E&O policies don't cover warranty or product guarantees your company makes. We also don't provide coverage when a client is simply unhappy with the work you did. For coverage to apply, the claim must be the result of an error or omission. There are a few other exclusions including:
Illegal Acts or Costs of Defense for Criminal Prosecution
We're here to protect you from financial risks resulting from honest mistakes. Breaking the law is outside of the scope of coverage.
Regular Accidents That Aren't Related to Your Expertise
Trips, falls, and other incidents can occur at any business and in any industry. They're covered by a General Liability policy rather than E&O insurance.
Employee Injuries and Related Costs
To pay for your employees' health care bills and lost wages in the event of a work injury, you'll need a Workers' Compensation policy.
Damages to Your Business Property
A policy that offers property coverage, such as our business owner's policy, is designed to protect your company's assets, such as computers, tools, or other necessities.
Are You Required to Carry Professional Indemnity Insurance?
Whether or not you're required to carry Professional Liability insurance depends largely on your line of work and the risks that come with it. Professions that may require this type of insurance include real estate agents, consultants, accountants, and insurance agents. Many states also require lawyers to disclose to clients whether they have professional indemnity insurance before any work can begin.
Be Sure You're Protected
Between 33% and 50% of small businesses are engaged in lawsuits in any given year, and the cost can easily add up to $10,000 or more. If you get hit with an errors or omissions lawsuit, you'll be glad you're covered.
What Does Professional Liability (E&O) Insurance Cost?
Typically, CFT Pay Insure's Professional Liability (E&O) insurance policies start around $300 and can go up into the thousands. This cost is based on a number of factors, such as your specific industry, the level of coverage you choose, your years in business, number of employees, revenue, and the policy limits you need. Professional Liability insurance is an affordable way to further protect your business, but there are still ways you can further reduce the cost.
How do I Save Money?
Purchase the right amount of coverage. The higher the amount of coverage you want, the higher your premiums will be. For example, all else being equal, $500,000 in coverage will cost less than $2 million in coverage.
Choose a higher deductible. Just like with auto insurance, higher deductibles mean lower premiums. Just be sure to carefully assess your needs and your budget.
Buy from CFT Pay Insure. When you choose us over other providers, you'll save up to 20%. Plus, you'll have the peace of mind that comes with our more than 75 years of insurance experience.
Professional Liability (E&O) Insurance Frequently Asked Questions
Our insurance experts are here and happy to assist you, but below are answers to questions we're frequently asked about Professional Liability insurance.
Get a Professional Liability Insurance Quote Today
Trust CFT Pay Insure to provide the right Professional Liability insurance for your small business.