Professional liability insurance is a specific type of business insurance that protects companies that typically offer advice and professional services to their clients.

Typical industries that purchase this type of coverage are accountants, doctors, lawyers, real estate agents, and property managers. Other common phrases used to describe this coverage is Errors & Omissions (E&O) insurance as well as Malpractice Insurance. It must be noted that for many businesses, general liability insurance, while necessary, is not the only type of coverage needed. With general liability insurance the focus is more on damages to property or persons and with professional liability insurance the focus is shifted to damages from bad service or bad advice.