Which statement is NOT true about Professional Liability?

The correct statement about Professional Liability is that it does not provide coverage for intentional acts. Professional Liability insurance, also known as Errors and Omissions insurance, is designed to cover risks associated with negligence, errors, and omissions that occur while providing professional services. This type of insurance is essential for professionals like doctors, lawyers, and accountants, as it can help protect them against claims arising from their professional activities.

Intentional acts, on the other hand, are generally excluded from Professional Liability coverage. This means that if a professional were to commit an act deliberately or with intent to cause harm—whether it be fraud, assault, or other malicious acts—such claims would not be covered under this policy. The essence of Professional Liability is that it is designed to protect against unintentional mistakes rather than deliberate wrongdoings.

In comparison to General Liability, Professional Liability insurance focuses specifically on professional services and the errors that can occur in the course of providing those services, making it distinct in scope. While General Liability may cover general risks such as slip-and-fall accidents on a business premises, Professional Liability is niche and tailored to the specific liabilities of professionals. This leads to a clear differentiation in coverage scope between the two types of insurance.

Therefore, the assertion that