Professional Liability (E&O) Insurance in California
Protection for the advice and services you provide — errors & omissions coverage against claims of professional negligence, with limits up to $1 million / $2 million aggregate.
Commercial policies are quoted by a licensed agent — call or text with your business details, or request a quote online and we’ll follow up fast.
In short
Professional liability — also called errors & omissions (E&O) — protects you against claims that your professional work caused a client financial harm: a missed deadline, a mistake in your advice, or alleged negligence in the service you provide. General liability won’t cover that; E&O does. Auto World writes professional liability through multiple commercial carriers with limits up to $1 million / $2 million aggregate for a range of professional classes; whether a policy is claims-made or occurrence is set by each company and shown on its declarations page. There’s no online commercial quote — a licensed agent builds yours by phone or text.
What professional liability (E&O) covers
Errors & omissions (E&O)
Defends and pays claims that your professional service or advice caused a client financial loss.
Negligence claims
Covers allegations of professional negligence, mistakes, or failure to deliver as promised.
Limits up to $1M / $2M
Up to $1 million / $2 million aggregate. Claims-made or occurrence, and the retroactive date, are terms of each company’s policy.
Defense costs
Helps with the legal cost of defending a professional-liability claim — often the biggest expense even when you did nothing wrong.
How an E&O policy responds — the five terms to check
Two E&O policies with the same limit can respond very differently to the same claim. These are the terms that decide it; each one is on the declarations page or in the policy form, and each varies by insurance company.
Claims-made or occurrence
E&O is commonly written on a claims-made basis: the policy in force when the claim is made — and reported — is the one that responds, provided the work was done after the retroactive date. An occurrence form responds to the policy in force when the work was done. Which one you have changes what happens when you switch or stop buying coverage.
The retroactive date
On a claims-made policy, work done before the retroactive date is not covered. Keep the same retroactive date when you renew or move to another company; losing it can leave years of earlier work uninsured.
Tail coverage (extended reporting period)
If you retire, close the business or move to a policy that will not honour your retroactive date, an extended reporting period lets claims for past work still be reported. How long it runs and what it costs are terms of the policy.
Defense inside or outside the limit
Some policies pay defense costs on top of the limit; others pay them out of it, so a long defense shrinks what is left for a settlement. Check which yours does.
Consent to settle
Some policies let the insurer settle without your agreement; others require your consent, sometimes with conditions if you refuse a settlement the insurer recommends.
Where E&O stops — the gaps to plan around
Injury and property damage
A client who trips in your office or a laptop you break at a client’s site is general liability, not E&O. Most professionals need both, and client contracts often ask for both.
Promises beyond the professional standard
A guarantee or penalty you agreed to in a contract — “results by this date or a refund” — is commonly excluded, because the policy covers negligence, not promises. Read the contract before you sign the guarantee.
Data breaches
A breach of client data is usually a cyber policy’s job; whether any of it is included in an E&O form varies by insurance company.
Driving to clients
E&O and general liability both leave out driving. Your own car on client visits is a personal or commercial auto question, and employees running errands in their own cars are covered for the business by hired and non-owned auto.
Who needs it
Counselors & therapists
Mental-health and wellness professionals whose advice and care carry professional risk.
Bookkeepers & tax preparers
Financial-service professionals exposed to client claims over errors.
Software developers & web designers
Tech and creative pros who can be sued when a project goes wrong.
Engineers
Technical professionals whose work carries significant liability.
Dieticians & beauticians
Service professionals providing advice or treatment to clients.
Consultants & advisors
Anyone paid for their professional expertise and recommendations.
Get a professional liability quote
Tell us what you do and what your client contracts require — a licensed agent compares commercial carriers and builds the E&O policy around them.
Why Auto World for commercial coverage
E&O written through multiple commercial carriers, limits up to $1M / $2M.
Covers the professional-negligence gap general liability leaves open.
Pairs naturally with general liability or a BOP — and many clients require both.
Can be placed alongside commercial auto — whether that earns a multi-policy discount depends on the company.
A licensed agent matches the coverage to your profession.
Licensed California broker, CA DOI #6005606 — call or text (619) 363-4466.
Frequently asked questions
What’s the difference between professional liability and general liability?
Who needs E&O insurance?
What limits are available?
Does my contract require it?
How much does E&O cost?
More commercial coverage
Ready to cover your professional work?
A licensed California agent will compare commercial carriers and put your E&O quote together. Call or text now — certificates often the same day the policy binds.