General Liability vs. Professional Liability: What’s the Difference?

Business owners often confuse general liability insurance with professional liability insurance. While both protect against financial loss, they cover different risks.

General Liability Insurance (GLI)

• Covers bodily injury, property damage, and personal injury claims.

• Protects against slip-and-fall accidents, customer injuries, and product-related damages.

• Recommended for businesses with physical locations or customer interactions.

Professional Liability Insurance (Errors & Omissions Insurance)

• Covers claims of negligence, mistakes, or failure to deliver services as promised.

• Essential for consultants, accountants, healthcare providers, and other service-based professionals.

• Protects against lawsuits related to misrepresentation, contract breaches, and errors in work.

Which One Does Your Business Need?

• Retail stores, restaurants, and contractors should prioritize general liability insurance.

• Consultants, attorneys, and financial advisors need professional liability coverage.

• Some businesses may require both to ensure full protection.

Choosing the right coverage ensures your business is protected against legal claims that could threaten its future.