Professional Liability

Mistakes Happen.

Also known as Errors and Omissions (E&O Insurance), professional liability insurance is protection for your business from claims of negligence related to a professional service.

Who needs professional liability insurance?

Small businesses that provide professional services or give advice to clients should consider purchasing professional liability insurance. It provides protection when a business owner is sued for negligence because their work doesn't meet a client's expectations.

Professional liability insurance can also be required by a small business' clients when entering into a contract.

Businesses that often choose professional liability insurance include:

  • Consultants
  • Attorneys
  • Engineers
  • Architects
  • Counselors
  • Accountants
  • Real estate agents
  • And more

Types of coverage

Professional liability insurance offers a variety of coverage for small businesses including:

  • Alleged or actual negligence - Protects a business against actual or alleged errors and omissions when providing professional services, such as giving incorrect advice, an omission, or failing to deliver a service.
  • Defense costs - Provides legal defense when a covered claim is reported.

Professional liability insurance can also offer coverage for claims arising from services provided in the past and work performed anywhere in the world.

At The CFI Agency, we understand that mistakes happen. That’s why we’re committed to helping you create a Professional Liability policy that keeps your day-to-day operations protected should your business be held legally liable.

What Does Professional Liability Cover?

While it’s important for your business to have general liability coverage for property damage and bodily injury, Flagler Insurance Agency recommends adding Professional Liability Insurance to your business portfolio because it insures the people and/or entities of your business from negligent claims made by third parties, or even internal sources.

From failure to render a service to malpractice suits, Professional Liability can provide a wide variety of options, such as:

  • Errors and Omissions Liability (E & O) – E & O covers any mistakes made by employees who work on behalf of your business, if your business charges fees for your services. It can include coverage for any errors such as failure to perform or violations of contract. Depending on your industry, your insurance needs will vary.
  • Directors and Officers Liability (D & O) - Having financial protection for your business’s Directors and Officers can prevent loss in the event that they are held liable from actions related to their corporate positions. This can include anything from conflicts of interest to mismanagement of company assets and violation of laws.
  • Fiduciary Liability - Fiduciary covers claims that involve the violation of the Employee Retirement Income Security Act, or ERISA. If a manager, for example, violates the financial obligations of ERISA, having the right coverage can protect your company if held liable in situations from imprudent investments to failure to enroll employees.
  • Employment Practices Liability - With proper insurance, your business can be protected if a worker claims that his or her rights have been violated. This can include violations from sexual harassment and discrimination to violations of the Americans with Disabilities Act (ADA), mismanagement of employee benefit plans, and wrongful termination.

Contact a repetitive with The CFI Agency today to prevent mistakes and errors from becoming major losses for your business.