Professional liability insurance (E&O)

Published 2026-06-12 · by Brokly

In plain terms: Covers a professional mistake — advice, a design, a spec, or a service that fails and costs your client money. General liability doesn't cover that.

Why it matters to you

General liability responds when someone is hurt or property is damaged. When the harm is financial — a design that fails inspection, advice that turns out wrong — only professional liability responds. Trades that certify, design, or advise carry it for exactly that gap.

Where you’ll see it

Client contracts for design, consulting, or certification work often require it by name — sometimes as "errors and omissions" or "E&O," which is the same coverage.

Related terms

Definitions describe how policies are typically structured — exact terms live in the policy. Not legal or compliance advice.

Sources: NAIC — Glossary of Insurance Terms (Errors and Omissions Liability | Professional Liability other than Medical) (retrieved 2026-06-12)