Professional liability insurance, also known as errors and omissions (E&O) insurance, protects professionals from financial losses due to claims of negligence, mistakes, or omissions in their services. It covers legal defense costs, settlements, and judgments if a client sues for damages caused by the professional’s work. This type of insurance is essential for professionals like doctors, lawyers, accountants, and others who provide expert advice or services. Without it, they could face significant financial and reputational risks from lawsuits.