Are California Errors & Omissions (E&O) Insurance and California Professional Liability one in the same and does my business need it?

Being a California business owner and industry professional usually requires expert knowledge and credentials that allow much more advantages for your business, such as charging a higher rate and more validation for your clients that you fully understand the work you provide. However, those credentials and expertise can also mean more risk. Since clients expect an expert, many may be less forgiving of a mistake which can, thus, lead to a lawsuit. Fortunately, there is a particular insurance coverage that protects professionals from the inevitable human error in their work, known as California Professional Liability insurance. This type of coverage can be instrumental in protecting your business.

What is California Professional Liability Coverage?

Professional Liability, also known as California Errors & Omissions (E&O), covers the costs from lawsuits against a company for errors or omissions in any act of a professional service for a fee. These mistakes include misstating a fact, forgetting to complete a task, misplacing documents, overlooking critical information, and any other misunderstandings. This coverage is important because lawsuits for such mistakes can be detrimental to a business. Professional liability will not only cover mistakes you may make, but also the mistakes of your full time and temporary employees, including independent contractors, to ensure that your entire business is protected.

Who Needs a California Errors & Omissions (E&O) Quote?

Many companies may not realize that they have an exposure to a professional liability claim however any business whose employees provide a professional service to clients for a charge will need California E&O insurance. Those who need professional liability include business like:

  • Lawyers
  • IT Consultants
  • Medical Professionals (Mal Practice Insurance)
  • Marketing Consultants
  • Contractors (design, engineering, etc.)
  • Real Estate Agents
  • Business Consultants
  • Contractors with management services
  • PR Specialists
  • Bankers
  • Graphic Designers
  • Accountants
  • Interior Designers
  • Non-profits
  • Technology Specialists


It is easy to see how mistakes in one’s work could result in a lawsuit for these business professionals and thus is a clear indication that they need professional liability coverage to fully insure their company.

How can you get a California Professional Liability quote?

Some basic information about your business services and risk management practices are all that is needed for our experienced staff at JVRC Insurance Services to get you started! Our quote for you will be tailored specifically for your business while being the most competitive as we understand every company is unique. We specialize in finding the coverages that will meet the unique needs of your business. With Professional Liability, your credentials and expertise as a business professional will be less of a risk and more of a benefit. Call us at JVRC Insurance for a quote today offering the most competitive premiums!