What type of liability insurance is specifically designed to cover professionals against claims of negligence?

Professional Liability insurance is specifically tailored to protect individuals and businesses in professional services against claims of negligence, errors, or omissions that occur in the course of providing their services. This type of insurance is particularly important for professionals such as doctors, lawyers, accountants, and consultants, whose services may lead to client losses if they fail to perform their duties with the expected level of care.

The key aspect of Professional Liability insurance is that it covers the unique risks associated with professional services, which may not be adequately addressed by other types of liability insurance, such as General Liability. General Liability typically covers broader exposure to claims related to bodily injury, property damage, and personal injury but does not encompass the specific nuances of professional service-related claims.

Understanding the specific protections offered by Professional Liability insurance is crucial for professionals, as legal claims of negligence can pursue significant financial damages that can adversely affect their careers and businesses. Thus, Professional Liability provides essential coverage and peace of mind for those facing potential legal action due to perceived professional shortcomings.