Professional liability insurance is good if you own a business and work with clients. Professional liability insurance, also known as errors and omissions (E&O) insurance, pays for your legal defence if a client or customer sues your business for negligence or malpractice. If you don’t have professional liability insurance and get sued, your business will have to pay for it, whether you win or lose.
Professional liability insurance is one of the most important types of business insurance, but not all insurance companies are the same. To find the best professional liability insurance companies, we started with a list of 17 companies. We carefully looked at each based on policy options, ease of use, industry specialisation, price, and customer satisfaction.
Best for freelancers and contractors who work for themselves: Pogo
The Doctor’s Company is the best for medical and health care providers.
Best for Lawyers: Embroker
Thimble Insurance is the best for small businesses.
Hiscox is the best for realtors.
As you can see, there are a lot of insurance companies that sell professional liability insurance. The hard part is finding a company that understands the unique risks of your job.
We trust all companies on this list, but AIG is our top choice. The company sells reliable insurance to people in many different fields. Many other companies don’t offer speciality coverages like reputation management and income loss protection like AIG.
What Does Liability Insurance for Professionals Cover?
Professional liability insurance pays for your legal fees if a client sues you for negligence, malpractice, or a mistake you made that cost the client money. Professional liability claims can be made for missed deadlines, clerical mistakes, bad business advice, and bad budgeting. Professional liability insurance will only cover claims that happen while the policy is still in effect.
How much does insurance for professionals cost?
The price of professional liability insurance depends on several things, such as the type of business you own, its size, the amount of coverage you buy, the deductible, the number of claims you’ve made in the past, and where your business is located. Some insurance companies offer discounts that can lower your rate, such as if you pay your annual premium in full.
Who Needs Liability Insurance for a Profession?
Professional liability insurance is a good idea if your business provides services to clients. And if the terms of your contract with your clients say that you have to have this coverage, you have no choice but to buy a policy. Professional liability insurance can help businesses of all sizes and in all fields. Professional liability lawsuits can happen to even the smallest businesses, costing at least thousands of dollars.