Accounting Firms Insurance
Professional Liability (E&O) Insurance
for Accounting Firms
Accountants are held to a high standard of care — and when tax errors, audit failures, or financial advice causes a client financial harm, professional liability (E&O) is your protection. Claims can come from individual clients, businesses, and even regulatory bodies, and defending them without coverage is financially devastating.
Industry-Specific Insight
Why Accounting Firms Businesses Need Professional Liability (E&O) Insurance
Accountants are held to a high standard of care — and when tax errors, audit failures, or financial advice causes a client financial harm, professional liability (E&O) is your protection. Claims can come from individual clients, businesses, and even regulatory bodies, and defending them without coverage is financially devastating.
Coverage Details
What Professional Liability (E&O) Insurance Covers
Key protections included in a professional liability (e&o) policy for accounting firms operations.
FAQs
Common Questions from Accounting Firms Businesses
Does accounting E&O cover an IRS penalty resulting from a tax filing error?
Professional liability can cover the claim from your client for damages they suffered as a result of your error — including their penalty costs, interest, and legal fees.
Does professional liability cover claims made after a client relationship ends?
Professional liability is typically claims-made coverage — claims must be filed while the policy is active or during an extended reporting period. Always maintain continuous coverage and purchase run-off/tail coverage when you retire or close.
Is professional liability the same as malpractice insurance?
Malpractice insurance is essentially professional liability by a different name, typically used in healthcare, legal, and other licensed professions. The coverage concept is the same — protection against claims that your professional services caused harm. 'E&O' is more commonly used in business, consulting, and tech contexts.
Does general liability cover professional mistakes?
No — general liability covers physical injuries and property damage. If a client claims your advice or service caused them a financial loss, that's a professional liability claim. Most businesses that provide professional services need both policies.
Complete Coverage
Other Coverages Accounting Firms Businesses Commonly Need
A complete protection plan for accounting firms operations typically includes several complementary coverages.
Accounting Firms · Professional Liability (E&O)
Get Professional Liability (E&O) Coverage for Your Accounting Firms Business
Our licensed agents specialize in accounting firms insurance. We compare options from 96+ carriers to find the right professional liability (e&o) coverage at a competitive price.