
Professional Liability Insurance
Reducing your risk, protecting your reputation.
Professional liability insurance, or errors & omissions (E&O) insurance, helps protect your business from lawsuits arising from services or advice your company provides. Without this protection, you could face extensive legal expenses that could severely impact and even bankrupt your business.
Interested in purchasing your professional liability online in minutes?
Acera Insurance offers EasyCover where you can get a quote, bind your policy and pay online in only a few short minutes. Get comprehensive coverage and affordable rates quickly and easily.
Here are some of the benefits of EasyCover:
- Get free online quotes 24/7
- No long, confusing applications to fill out
- Purchase and manage your policy online at your convenience
- No need to speak with a broker
- Knowledgeable support by phone, email or chat
- Option to bundle with other liability coverages
Your guide to professional liability insurance.
Any business that offers advice could experience a significant financial burden if faced with a lawsuit, even if you are not guilty of the allegations made against you. Professional liability insurance helps provide a safety net and can prevent you from having to shut down your operations due to substantial legal fees.
Our experienced and knowledgeable brokers can help with:
- Understanding and determining your business’ insurance needs
- Sourcing multiple providers to deliver competitive, customized quotes
- Acting as a trusted insurance advisor or resource
- Advocating on your behalf in the event of a claim
Supporting businesses across Canada.
Looking to connect with a dedicated broker? Get your professional liability by phone or in person at your nearest branch.

Common coverages for professional protection.
Professional expertise and risk mitigation are key to helping prevent claims from arising, but professional liability insurance is there for when unexpected situations happen.
Service or Product Failure
If you deliver a product to your client which does not perform as intended, you could be held responsible for any damages or loss of revenue resulting from this error. Your policy would help cover defence costs, settlements and awards up to your policy limit.
Professional Negligence
If a client claims they did not receive the level of service your company agreed to deliver, your policy can help cover all resulting financial losses and legal fees from this dispute.
Reputation & Media Liability
This protects against accusations of copyright infringement, libel, and defamation. It can help cover your legal costs if your client faces financial consequences for using copyright material and holds you accountable.

Errors and omissions by profession.
We provide professional liability insurance quotes to a variety of professions across Canada. Whether you’re an independent contractor, business owner, or full-time employee, Acera Insurance and EasyCover offer easily accessible and affordable errors and omissions Insurance. The industries and professions we serve include:
How professional liability works.
Most professional liability insurance policies cover judgments, settlements and defence costs. Even if the allegations against you are found to be untrue in court, you could still spend thousands of dollars on legal defence costs. Those kinds of expenses can bankrupt a small company or contractor and have a lasting impact on your professional reputation and future business.
Professional liability insurance in Canada is a claims-made insurance policy. This means only claims made during the coverage periods are covered by the insurance company even if the event occurred in the past.
These policies usually feature two distinct qualities: a retroactive date and an extended reporting period.
- A retroactive date is when the insurance policy begins, and it can be set as a date in the past.
- The extended reporting period is a date you set in the future to which claims can still be covered after the end of your policy.
That means whenever your policy ends, the coverage can last for the time you chose to extend afterward.
The maximum amount that will be paid out is referred to as your coverage limit. This represents the amount of coverage you have access to over the 12-month policy period, regardless of the number of claims. Coverage options typically start at $1 million, but you can also select $2 million, $5 million or more – depending on your industry and level of risk.
Your optimum level of coverage depends on: your contract requirements, the number and size of your clients, the type of clients you have and their activities, the overall value of the contracts, and the potential costs of a legal claim that might be made against you.
The goal is to avoid being underinsured and paying out of pocket when you’re being faced with a lawsuit, or overpaying for insurance coverage your business does not benefit from. This is why it is so important to work with a company that specializes in liability insurance. Our professional liability insurance brokers are here to support your business. We offer comprehensive coverage and expert advice. Connect with a broker or complete an online quote to get started.
Professional liability claims examples.
Professional service and advice from consultants, including IT consultants, business consultants and marketing consultants can occasionally lead to legal exposure if a client claims they relied on your expertise to their financial detriment. This is where E&O insurance comes in.
While policies can differ depending on the specific needs of the industry and profession, here are some examples of common claims scenarios.
Professional Negligence
You commit an error while carrying out a professional service. If you’re a consultant, for example, your client can decide your advice was not accurate and did not benefit them and proceed to file a claim to receive compensation.
Misrepresentation
If you present information in a way that might be seen as misleading (like rounding numbers), and this information is relied upon and causes financial loss, your professional liability insurance will respond and pay for your costs of defense (subject policy terms and conditions).
Product Failure
A software product you develop fails to perform properly. This causes direct financial losses for your client while they wait for the product to be corrected. Your E&O policy will help cover your legal costs in the event your client sues you.
Breach of Confidentiality
You unintentionally email a file containing confidential information related to your client while working on a project for their company. Your professional liability insurance kicks in to cover all resulting financial loss and legal fees.
Infringement of Intellectual Property Rights
Using someone else’s pictures without proper credit, for example, can lead to the original owner filing a lawsuit which will cost you not only money but your reputation as well.

Why choose Acera Insurance for professional liability?
With branches across Canada, chances are we have an office near you. We’ll help you secure coverage you can count on, at a cost you’re comfortable with.
Leading Insurance Providers
As an independent brokerage, we work with over 100 different insurance companies to make sure you are receiving the best coverage for your unique business needs.
Local Liability Advisors
Our professional liability insurance advisors build long-term relationships with their clients and serve as another valuable business resource for your company.
Mitigate Risk & Save Money
Our experienced brokers can discuss your rates and advise on potentially cost-saving, risk mitigation measures you may not have considered.
Helpful tips from our advisors.
Our expert advisors will take the time to understand your business needs and provide ways to help you save.
Answering your most common questions.
How much does professional liability insurance cost?
The cost of professional liability or errors & omissions (E&O) insurance varies based on a few key factors such as:
- Your industry
- Your location or where your business operates
- Your company’s revenue
- Your workforce size
- Your insurance and claims history
- Your selected level of liability coverage
Who needs professional liability insurance?
If your business involves providing a service or professional advice to clients, you need professional liability insurance. Here are some of the common types of professions who work with us to secure their coverage:
- Consultants
- Contractors
- Engineers
- Financial Controllers
- Forensic Experts
- Graphic Designers
- Health Professionals
- IT Analysts
- Photographers
- Project Managers
- Software Developers
If you do not see your profession listed in the above, but think you may need professional liability insurance, not to worry. Contact us today and we can discuss if a policy would benefit you.
Is professional liability insurance required for my business?
Depending on your industry, you may be legally required to carry professional liability insurance. Some professional associations, organizations or regulatory bodies make this a requirement of registration, while others do not. If you are uncertain, it is always a good idea to check with your own professional association, as well as confirming with a licensed business insurance broker.
How much professional liability coverage do I need?
Since professional liability insurance covers legal expenses related to the services and advice your company provides, the level of coverage you need is very specific to your unique risks and exposures. When answering this question, we consider the following factors:
- Any contract requirements from clients (many are $1 to $2 million)
- Your industry
- Your business risks
- Your budget
- The number and size of client contracts
- The type of clients you work with and their industries
- The overall value of your projects
- Estimated legal costs to depend a claim
What professional liability limit should I purchase?
It is important to keep in mind that your policy limit applies across your entire policy term and is not per incident. If you are not certain how much you should select for your policy limit, one of our dedicated professional liability specialists would be happy to help discuss and weigh your options with you.
Do home-based businesses need professional liability insurance?
Yes, no matter where your business operations are located, if you offer advice or services to clients, you can still be exposed to professional liability claims and should strongly consider purchasing this insurance. Your home insurance policy would not cover legal fees related to your business.
What if I’m not guilty of the allegations?
Even if you are not guilty of the allegations made against you, you could still spend at least thousands of dollars defending yourself in court. Even the most consummate professional can face accusations from clients and should not think they are immune to these types of allegations. Professional liability insurance is there for you and your company when unexpected situations happen.
What is the difference between professional liability and commercial general liability insurance?
Professional liability or errors & omissions (E&O) insurance covers lawsuits resulting from mistakes or failures to deliver promised services. Commercial general liability (CGL) insurance covers claims in which someone suffered a bodily injury or had their property damaged due to your business or its services. If you are unsure if you need both types of coverages, we recommend connecting with a dedicated business insurance expert.
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