Product liability vs Professional liability (E&O)
Product liability covers claims that a physical product you sold caused injury or damage. Professional liability, or errors and omissions, covers claims that your advice or services caused a client financial loss. Product sellers need product liability; professional liability is for consultants and service providers.
Head to head.
Product liability
Professional liability (E&O)
What it covers
Injury or damage from a product
Financial loss from advice or services
Typical claim
A defective product injures a customer
Bad advice costs a client money
Who needs it
Physical-product sellers
Consultants, agencies, service firms
For a product store
Essential
Usually not needed
Which do you need?
Straight answer.
If you sell physical products, product liability is the coverage that matters. You only need professional liability if you also sell advice or done-for-you services.
From $26/mo
Pay-as-you-sell insurance
- A-rated underwriters
- 42% less than comparable A-rated insurers (avg)
- Quote in 2 minutes
- No annual forecasts
- Cancel anytime
No obligation. Cancel anytime.
Questions
Common questions.
Do product sellers need professional liability?+
Usually not. If you only sell physical products, product and general liability are the relevant coverages. Professional liability matters if you also sell consulting, design, or other professional services.
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General information, not insurance advice. Sources: Insurance Information Institute. Reviewed 2026-07-01.