What does professional liability (E&O) insurance cover that general liability doesn't?

General liability (GL) responds to third-party claims of bodily injury, property damage, or advertising injury — the classic slip-and-fall at your office. Professional liability, also called errors and omissions (E&O), responds instead to claims that your advice, service, or work product was negligent, contained a mistake, or failed to deliver what was promised. A single incident can trigger one, the other, or both, depending on what actually went wrong, so many businesses that give advice or perform skilled services carry both coverages rather than choosing between them.

Is "professional indemnity insurance" the same as professional liability insurance?

Generally, yes. "Professional indemnity insurance" is the term commonly used in the UK, Ireland, Australia, and other Commonwealth countries for what U.S. insurers typically call professional liability insurance or errors and omissions (E&O) coverage. The underlying concept — protection against claims that your professional advice or service caused a client financial loss — is broadly the same, though specific policy language, exclusions, and regulatory requirements differ by country and insurer, so always confirm coverage details against the actual policy document rather than assuming the terms are interchangeable in every respect.

What factors drive professional liability insurance premiums?

Insurers typically underwrite professional liability premiums around a combination of factors: the business's annual revenue (more revenue generally means more exposure), the coverage limits and deductible chosen, the business's claims history, the specific industry or services performed (some professions carry inherently higher claim frequency or severity), the number of employees or contractors, and years in operation. Because carriers weigh these factors differently, the same business can receive meaningfully different quotes from different insurers, which is why getting multiple quotes is generally worthwhile.

Are LLCs required by law to carry professional liability insurance?

In most cases, no state broadly mandates professional liability insurance purely because a business is organized as an LLC — an LLC's liability shield and insurance requirements are legally separate things. That said, coverage is frequently required indirectly: by a state licensing board as a condition of holding a professional license, by a client or vendor contract, by a landlord, or by a platform or marketplace the business works through. Because these requirements vary by profession and by state, confirm the specific rule that applies to your situation with your licensing board or the party requiring proof of coverage, rather than assuming a nationwide rule applies.

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Professional Liability (Indemnity) Insurance Cost: 2026 Data

Professional liability insurance — called professional indemnity insurance in the UK and other Commonwealth countries — protects against claims that your advice or work product was negligent or fell short of what you promised. Here’s what it costs across 22 industries, based on insurer-published pricing.

By Edmond Hui · Last updated: July 19, 2026

Edmond Hui · Founder, MyStateLLC

Edmond Hui is a software engineer and serial entrepreneur based in New York who has founded multiple online businesses across e-commerce, media, and information publishing. Before transitioning into tech, he spent years as a commercial real estate professional closing deals totaling over 100,000 square feet, giving him firsthand experience with business formation and entity structuring. He built MyStateLLC to provide the free, state-specific LLC guidance he wished existed when forming his own companies.

Quick answer: Among the 13industries with a published median, professional liability (E&O) premiums range widely by profession — insurers price the risk of an advice or service failure very differently depending on what the business actually does. There is no single national rate; see the ranked table below for insurer-published medians by industry, and check your industry’s page for the specific figure and sourcing.

Searching for “professional indemnity insurance cost” or “professional liability insurance cost” turns up the same underlying question: what does it actually cost to insure against a claim that your professional work was negligent, inaccurate, or incomplete? The terminology differs by country — U.S. insurers say “professional liability” or “errors and omissions (E&O),” while U.K. and Commonwealth insurers say “professional indemnity” — but the coverage concept is the same, and the honest answer is: it depends heavily on your industry, revenue, coverage limits, and claims history.

Below is a ranked look at median monthly professional liability premiums across the 22 industries we track, drawn from insurer-published pricing data as of July 2026. Not every industry has a published median — where a carrier doesn’t publish one, we say so rather than estimate a number.

Professional liability insurance cost by industry, ranked

Ranked by median monthly professional liability premium, highest to lowest, among industries with an insurer-published figure. General liability (GL) medians are shown alongside for comparison — the two coverages are priced independently and rarely move together.

Industry	PL / E&O median monthly	GL median monthly
Dentists & Dental Practices	$286/mo	$37/mo
Software Developers & IT Consultants	$111/mo	$32/mo
Freelancers	$88/mo	$45/mo
Content Creators & YouTubers	$78/mo	$33/mo
General Contractors	$74/mo	$142/mo
Real Estate Investors	$68/mo	$68/mo
Insurance Agents	$65/mo	$29/mo
Consultants	$62/mo	$32/mo
Therapists & Counselors	$56/mo	$29/mo
Nurse Practitioners	$45/mo	$41/mo
Life & Business Coaches	$43/mo	$29/mo
Personal Trainers	$42/mo	$29/mo
Photographers	$34/mo	$29/mo

9 of the 22industries we track have no insurer-published professional liability median and are omitted from this table for lack of published data — see each industry’s page for what coverage information is available. Figures as of July 2026.

Sources: Insureon - Cost of Dental Practice & Dentist Business Insurance, Insureon - Software Developer Business Insurance Costs, Insureon - Freelancer Business Insurance, Insureon - General Liability Insurance Cost, Insureon - Professional Liability Insurance Cost, Insureon - Media & Advertising Business Insurance Cost, Insureon - Social Media Influencers & YouTubers Insurance, Insureon - General Contractor Insurance Cost, Insureon - Commercial Landlord Insurance Costs, Insureon - Insurance Cost for Insurance Agents, Insureon - Consulting Business Insurance Costs, Insureon - Therapy and Counseling Business Insurance Costs, Insureon - Professional Liability / Malpractice for Therapists & Counselors, Insureon - Nurse Insurance Costs (nurses category, includes nurse practitioners), Insureon - Cost of Professional Services Business Insurance (covers career/executive coaches category), Insureon - Personal Trainer Insurance Costs, Insureon - Photographer Insurance Cost, Insureon - General Liability Insurance for Photographers & Videographers.

General liability vs. professional liability: what’s the difference?

The two coverages respond to different kinds of claims, and most service businesses end up needing both rather than choosing one over the other.

	General liability (GL)	Professional liability / E&O
What it covers	Third-party bodily injury, property damage, advertising injury	Negligence, errors, or omissions in professional advice or services
Typical trigger	A physical incident — a fall, damaged property, an injury	A financial or reputational harm from work performed or advice given
Example claim	A client trips over a cable at your office and is injured	A client says your advice or deliverable was wrong and cost them money
Often required by	Landlords, client contracts, marketplaces	Licensing boards, client contracts, professional associations

What drives a professional liability premium

Carriers don’t publish a single formula, but the factors below are the ones underwriters consistently weigh. None of these move in isolation — a low-revenue business with a high-risk service, for example, can still see a higher premium than a larger business in a lower-risk field.

Revenue: Higher revenue generally signals more client engagements and more potential exposure, which tends to push premiums up.
Coverage limits and deductible: Higher per-occurrence and aggregate limits, and a lower deductible, both increase the premium — the trade-off is more protection against a costly claim.
Claims history: A business with prior claims typically pays more, and repeated claims can affect renewal terms or which carriers are willing to offer coverage at all.
Industry risk profile: Professions where errors are more likely to cause significant financial harm, or where litigation is more common, tend to see higher published medians than lower-risk fields — which is part of why the ranked table above varies so widely by industry.

Compare small business insurance providers

Provider	Best for	AM Best rating
NEXT Insurance (ERGO NEXT)	online small business insurance for the self-employed, freelancers, contractors, sole proprietors, and micro-businesses across 1,300+ professions	A+	Get a quote
Hiscox	small-business and professional liability (errors & omissions) coverage for professional-services freelancers, consultants, and specialty professions across 180+ occupations	A	Get a quote
Embroker	digital commercial insurance (D&O, cyber, tech E&O, EPLI, professional liability) for venture-funded startups, tech companies, law firms, VC/PE firms, and other professional-services businesses	—	Get a quote
Thimble	on-demand, short-term (hourly/daily/monthly) general liability and professional liability insurance for freelancers, gig workers, and small businesses across 129+ industries	—	Get a quote

Disclosure: we earn a commission if you buy a policy through some links on this page. This does not affect our editorial comparisons, and coverage details always come from the insurer’s own documents.

Frequently Asked Questions

: General liability (GL) responds to third-party claims of bodily injury, property damage, or advertising injury — the classic slip-and-fall at your office. Professional liability, also called errors and omissions (E&O), responds instead to claims that your advice, service, or work product was negligent, contained a mistake, or failed to deliver what was promised. A single incident can trigger one, the other, or both, depending on what actually went wrong, so many businesses that give advice or perform skilled services carry both coverages rather than choosing between them.
: Generally, yes. "Professional indemnity insurance" is the term commonly used in the UK, Ireland, Australia, and other Commonwealth countries for what U.S. insurers typically call professional liability insurance or errors and omissions (E&O) coverage. The underlying concept — protection against claims that your professional advice or service caused a client financial loss — is broadly the same, though specific policy language, exclusions, and regulatory requirements differ by country and insurer, so always confirm coverage details against the actual policy document rather than assuming the terms are interchangeable in every respect.
: Insurers typically underwrite professional liability premiums around a combination of factors: the business's annual revenue (more revenue generally means more exposure), the coverage limits and deductible chosen, the business's claims history, the specific industry or services performed (some professions carry inherently higher claim frequency or severity), the number of employees or contractors, and years in operation. Because carriers weigh these factors differently, the same business can receive meaningfully different quotes from different insurers, which is why getting multiple quotes is generally worthwhile.
: In most cases, no state broadly mandates professional liability insurance purely because a business is organized as an LLC — an LLC's liability shield and insurance requirements are legally separate things. That said, coverage is frequently required indirectly: by a state licensing board as a condition of holding a professional license, by a client or vendor contract, by a landlord, or by a platform or marketplace the business works through. Because these requirements vary by profession and by state, confirm the specific rule that applies to your situation with your licensing board or the party requiring proof of coverage, rather than assuming a nationwide rule applies.

This guide is general information, not insurance, legal, or financial advice. Coverage needs, requirements, and pricing vary by business, location, and carrier underwriting. Confirm policy details directly with a licensed insurance carrier or agent before making a purchasing decision.