Best professional liability insurance coverage for small businesses
Professional liability insurance coverage, cost, and customer service quality vary by insurance provider. When looking for a policy, choose a provider that specializes in your industry, has a solid reputation, and sells policies that match your business needs and budget.
What are the best professional liability insurance companies in 2026?
Finding the best professional liability insurance company depends on factors unique to your small business, such as your location, budget, and professional service offerings. While some insurers may specialize in certain industries, others might only operate in certain parts of the United States.
To help you secure professional liability insurance, also called errors and omissions (E&O) insurance or malpractice insurance, TechInsurance partners with 100+ top-rated U.S. insurance providers. All of our carriers are rated excellent or superior by AM Best, a global credit rating agency specializing in the insurance industry.
As an industry-leading online insurance marketplace, we've helped more than 450,000 small businesses secure more than 1.8 million policies. Simply fill out our free online application, and we'll retrieve quotes from the insurers that best match your business needs based on key factors like:
- Best-rated professional liability insurance companies, in terms of financial strength
- Best providers for your industry
- Best providers for your business's location
Best-rated professional liability insurance providers
TechInsurance will send you quotes from some of the top small business insurance companies in the country. As you compare quotes, remember that the cheapest policy isn't always the best. Coverage limits, exclusions, and an insurance company's financial stability are all critical details to consider when looking for coverage.
Based on financial strength and overall rating, our top insurance providers for professional liability insurance include:
The Hartford
The Hartford has proudly delivered insurance to people and businesses since 1810, offering them the support and protection they need to pursue their unique ambitions.
Hiscox
Hiscox has insured small businesses since 1901, supplying them with the confidence and risk management tools they need to realize their ambitions.
- AM Best rating: A (Excellent)
- Customer rating: 4.8/5
- Coverage area: Nationwide, except Alaska
CM&F Group
CM&F Group has been insuring professionals since 1919, specializing in professional liability and medical malpractice coverage for healthcare workers.
- AM Best rating: A++
- Customer rating: 99% satisfaction rate
- Coverage area: Nationwide
Chubb
Chubb provides insurance to a diverse group of clients, and, as an underwriting company, it assesses, assumes, and manages risk with insight and discipline.
- AM Best rating: A++
- Customer rating: 98% satisfaction rate
- Coverage area: Nationwide
Travelers
Travelers offers a wide range of business insurance options, designed to help business owners identify and reduce the risks their businesses face.
- AM Best rating: A++
- Customer rating: 98% satisfaction rate
- Coverage area: Nationwide
Philadelphia Insurance Companies (PHLY)
Philadelphia Insurance Companies (PHLY) has insured small businesses for more than 60 years across 120+ specialized business markets.
- AM Best rating: A++
- Customer rating: 97% claims satisfaction
- Coverage area: Nationwide, except Louisiana
How much does professional liability insurance cost for small businesses?
Professional liability policyholders pay on average $88 per month, with annual premiums ranging from $380 to $7,400. Your exact premiums may be more or less depending on your risks.
The cost of professional liability insurance is based on several factors, including:
- Location
- Policy limits and deductible
- Industry risk levels
- Number of employees
- Claims history
- Years of experience
- Retroactive date
- Endorsements
Top professional liability insurance companies by industry
Professional liability insurance provides financial protection if a client claims your professional mistake, negligence, or oversight caused them financial loss. That’s why it’s important to work with an insurer that understands your industry.
The right insurer can make sure all of your unique risks are covered, whether you’re an independent contractor or you have a team of employees.
Here are the best professional liability insurance carriers for our top industries:
IT / technology
The Hartford and PHLY are reliable, top-rated professional liability insurance providers for tech companies, although in this industry it’s called errors and omissions insurance. This coverage is often bundled with cyber liability insurance in a policy called tech E&O, also known as tech professional liability insurance, which typically costs less than purchasing each policy individually.
Tech E&O insurance protects tech companies if a mistake, software bug, or service failure causes a client to lose money. For example, a cybersecurity company is hired to enhance a childcare center's network security. If the childcare center suffers a data breach and sues for negligence, tech E&O will cover the cybersecurity business's legal expenses.
Consultants
Top insurance providers for consultants include Hiscox, PHLY, and The Hartford.
Businesses often hire management consultants, IT consultants, and other consulting experts to help them improve processes and increase profits. But that also makes them a target for accusations of bad advice and professional mistakes. Professional liability helps cover the cost of legal battles and frivolous lawsuits from dissatisfied customers trying to recoup their losses.
Healthcare
Many healthcare providers trust Hiscox for professional liability coverage. However, in this field, it’s called medical malpractice insurance. CM&F Group is another top-rated carrier, offering malpractice policies written by The Medical Protective Company (the name you'd see on your policy).
Unlike standard professional liability insurance, malpractice insurance covers claims that your work caused bodily injury or worsened a patient's condition. For example, it would cover a chiropractor’s legal defense costs if a patient sues them for increasing their back pain.
Accountants
Accountants often choose Hiscox and The Hartford for professional liability coverage.
If a client claims you missed a deadline for filing their tax forms or your advice cost them money, this policy can help pay legal fees, including court costs, settlements, and judgments.
Engineers
The Hartford and Hiscox are popular professional liability providers for engineers.
Just one mistake in a structure’s integrity or design could cost a client hundreds of thousands of dollars, making professional negligence claims an expensive issue for engineers and architects. Even if you’re not directly at fault, you could still face a pricey lawsuit from a disgruntled client.
Best professional liability insurance companies by state
While many insurance companies sell professional liability insurance nationwide, some are only licensed to sell in certain states. Depending on where your business is located, your state could impact who you buy insurance from.
For TechInsurance customers, these are the insurers that sell the most professional liability policies in our top states:
What risks do businesses face without professional liability insurance?
Real estate agents, event planners, law firms, and other professional service providers often need professional liability insurance to fulfill contract requirements, get licensed, work in certain facilities, or compete for clients who prefer insured providers. Depending on your industry and location, you may also need to carry a policy to comply with state laws.
However, even if professional liability isn’t required, many businesses carry it in case a client sues you for claims like:
- Breach of contract
- Incomplete work
- Missed deadlines or failure to deliver services
- Claims of negligence
- Misrepresentation
Professional liability will pay for your legal expenses, including attorney’s fees, settlements, and judgments. Without coverage, you could be stuck paying for these expenses out of pocket.
Keep in mind, professional liability only covers claims related to your professional services. For other common business risks, like a vendor suffering a personal injury at your office or accidental property damage by you or an employee, you’d need a general liability policy.
Get the right professional liability insurance for your small business
TechInsurance is a trusted insurance expert for small businesses, including the IT sector.
Complete our easy online application to compare free quotes for professional liability insurance, commercial property insurance, workers’ compensation insurance, and more from top-rated U.S. carriers. Our licensed insurance agents are available to help answer any questions you may have.
Once you find the right policies for your small business, you can typically begin coverage and get a certificate of insurance (COI) in less than 24 hours.
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