Professional liability (E&O) insurance in Florida

What professional liability insurance covers

Professional liability insurance (errors and omissions or E&O) protects professionals from claims that they failed to perform their services competently. If a client alleges your advice, design, or work caused them financial loss, professional liability coverage pays legal defense costs and settlements or judgments.

• Errors and omissions. covers claims that your professional work or advice fell below the standard of care and caused the client financial loss
• Malpractice. medical and dental professionals call E&O malpractice; the coverage is identical
• Defense costs. your carrier pays attorneys and defense expenses from the start of a claim, subject to policy limits
• Retroactive date. the policy only covers claims arising from services performed on or after the retroactive date
• Tail coverage. extends claims-made protection for a period after you retire or close your practice

Florida professional licensing and E&O requirements

Florida's Department of Business & Professional Regulation (DBPR) and Department of Health license most professionals, including architects, engineers, accountants, contractors, real estate professionals, health practitioners, and more. Many licensing boards and contracts require errors and omissions insurance as a condition of licensure or contract work. Florida's high litigation climate makes E&O even more critical.

Florida litigation and claims frequency

Florida's high litigation rate and aggressive plaintiff attorney market increase the frequency and severity of professional liability claims. Design professionals, contractors, accountants, health professionals, and any business advising clients face elevated exposure in Florida. Carrying adequate limits is critical.

Understanding claims-made coverage

Professional liability is almost always sold on a “claims-made” basis, meaning the policy covers claims received during the policy period, regardless of when you performed the work. The retroactive date specifies the earliest date your coverage applies. When you retire or close your practice, tail coverage protects you for claims made afterward.

• Retroactive date: the earliest date your policy covers; older claims are excluded
• Claims-made: you're covered if a claim is received during the policy period
• Tail coverage: extends protection after you stop working; highly recommended and often required
• Prior acts: if switching carriers, ask about prior acts coverage to protect older work

Choosing professional liability limits in Florida

Coverage limits vary by profession. Accountants and consultants typically carry $1-2 million. Architects, engineers, and design professionals often carry $2-5 million or higher. Health professionals' limits depend on specialty. Your licensing board and clients often specify minimum required limits.

How to lower your professional liability premium

• Implement documented quality control and strong client engagement procedures
• Maintain detailed work files, client contracts, and engagement letters
• Keep your license and continuing education current with the DBPR or regulatory body
• Ask your carrier about loss-prevention resources and risk management consultation
• Bundle with general liability or commercial property for multi-line discounts

Why buy professional liability through Maru

Maru works with professionals across all disciplines to find carriers specializing in your field—accounting, engineering, design, real estate, health professions, law, and more. We explain claims-made coverage, tail options, and regulatory requirements, and help you stay compliant with Florida licensing and contract requirements.

Frequently asked questions

Vadim — Maru Insurance
Licensed independent insurance agent · WA & FL
Written and reviewed by a licensed Maru advisor. Maru Insurance is an independent agency (WA License WAOIC #1365574, FL License #G363233) representing multiple A-rated carriers across Washington and Florida.