What are the key differences between general liability insurance and professional liability insurance?

As a lawyer, I would advise that the key differences between general liability insurance and professional liability insurance lie in the types of risks covered by each policy.

General liability insurance provides coverage for bodily injury, property damage, and advertising injury claims that arise as a result of your business operations. This type of insurance is designed to protect your business from losses stemming from accidents that occur on your premises or incidents that occur while conducting business offsite.

On the other hand, professional liability insurance, also known as errors and omissions (E&O) insurance, provides coverage for claims that arise as a result of professional services that you or your employees provide to third parties. This type of insurance is designed to protect your business from losses stemming from claims of negligence, errors, or omissions.

The key differences between these two types of insurance can be summarized as follows:

1. Coverage: General liability insurance covers bodily injury, property damage, and advertising injury claims. Professional liability insurance covers claims related to professional negligence, errors, or omissions.
2. Types of Claims: General liability insurance covers claims related to accidents that occur on your business premises or while conducting business offsite. Professional liability insurance covers claims related to professional services provided by you or your employees.
3. Industries: General liability insurance is commonly purchased by businesses in various industries including retail, restaurants, and construction. Professional liability insurance is commonly purchased by businesses in industries such as healthcare, accounting, legal, and consulting.

It is important to note that while these policies offer different types of coverage, they are not mutually exclusive. Many businesses purchase both policies to ensure that they are fully protected from a variety of risks.

In terms of limitations or exceptions to the advice given, it is crucial to note that the terms and conditions of both policies can vary depending on the insurance company and the specific policy. It is recommended to review the policy carefully and seek the advice of an insurance professional to ensure that the policy provides adequate protection for your business.

In conclusion, general liability insurance and professional liability insurance offer different types of coverage to protect businesses from different types of risks. It is important to carefully consider the unique risks and needs of your business to determine which policies to purchase and to review the policies carefully to ensure that they provide adequate protection.