Professional Liability

Losses and lawsuits can come at any unexpected moment. We'll help you understand, anticipate and get the coverage you need to protect your business from client lawsuits.

What is Professional Liability?

Nowadays, it's not a surprise to hear about professionals or businesses getting sued by their clients for various reasons. Professional mistakes, malpractice, or negligence are some of these reasons. Whether the claims are true or not, the court costs or settlements could lead to devastating financial loss for your business. Professional Liability Insurance, also called Errors and Omissions Insurance(E&O insurance), helps you or your company cover legal defense costs depending on your policy limit.

Professional Liability Insurance Coverage

Professional Liability Insurance helps protect your business from claims of:
  • Negligence
  • Omissions
  • Misrepresentation
  • Inaccurate advice
  • Personal Injury(libel or slander)

Even experienced professionals make mistakes. These mistakes could lead them to court if the client sues them, regardless of whether these claims are real or not. Professional Liability Policy will help cover your:
  • Attorney fees
  • Court costs
  • Administrative costs
  • Settlements and judgments

How does Professional Liability Insurance Work?

Many professional liability policies are on a claims-made basis. It means that only the claims filed during the policy period are covered. You may include a retroactive date and an extended reporting period to cover claims that may arise from past occurrences.

A retroactive date is a specified date in your policy that determines whether your policy will cover losses in the past. If, however, the claims happened before this date, the costs for settlement, legal judgment, or attorney fees will be your responsibility. 

The extended reporting period, on the other hand, helps cover claims filed within a specified time after the expiration of your policy. Typically a 30- to 60-day period, you may have this extended to a year or more for an additional cost.

Although most PL policies are on a claims-made basis, some can be on an occurrence policy. It means claims that occurred during your policy period are covered even if the claim gets reported after your policy has expired. Learn more about claims-made and occurrence policies by calling a risk advisor from Arena Insurance Brokers, Inc. at (913) 363-1300.

What does Professional Liability not cover?

Professional liability doesn't cover claims from occurrences before your policy's retroactive date. It also doesn't cover filed claims after your policy's extended reporting period.

Professional Liability does not cover every kind of liability claim. It won't help with claims of:

  • Bodily injury or property damage: These are claims arising from physical risks such as physical injury against a third party not covered in Personal Liability. You'll want a general liability insurance policy to help cover these claims. Get a quick general liability insurance quote from Arena Insurance Brokers, Inc. by calling 913-363-1300.
  • Work-related injuries or illnesses: Your employees could get hurt or get ill from their job. You'll need a workers' compensation insurance policy to help them recover and get back to work. Get a  quick quote on your workers' comp here.
  • Data breach: Your business could lose personally identifiable information (PII). Take action by getting cyber liability insurance and make sure your business data is secured. Click here to get a quick quote on cyber liability.


Contact Arena Insurance Brokers, Inc. to learn more about Professional Liability Insurance.  Get a quick quote by clicking here or calling Arena Insurance Brokers, Inc. at 913-363-1300.
(913) 363-1300
Westwood Office:
4705 Mission Road
Westwood, KS 66205​

Overland Park Office:
8011 College Blvd.,
Suite 100
Overland Park, KS 66210​​
Click Here to Email Us
Professional Liability Insurance Quote
Get a quick professional liability insurance quote