ERGO NEXT leads California's professional liability insurance market with top-rated customer service, comprehensive coverage options and user-friendly digital tools. The Hartford is the cheapest professional indemnity insurer in the state at $80 per month, saving businesses $7 monthly compared to the state average. Simply Business, Nationwide, biBerk and Coverdash round out the top providers for errors and omissions insurance in California.
Best Professional Liability Insurance in California
Get CA professional liability insurance quotes starting at $29 monthly from MoneyGeek's top companies like ERGO NEXT, The Hartford and Simply Business.
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Updated: February 1, 2026
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Professional Liability Insurance in California: Key Takeaways
ERGO NEXT provides the best professional liability insurance in California, while The Hartford delivers the most affordable coverage starting at $80 monthly (Read More).
Professional liability insurance costs in California average $87 monthly ($1,038 annually), placing the state among the more affordable options nationwide (Read More).
Professional liability insurance protects California businesses from financial losses due to professional mistakes, missed deadlines and claims of inadequate work performance (Read More).
California doesn't mandate professional liability insurance for most businesses, though certain regulated professions like health care providers must carry this coverage (Read More).
California business owners should request small business insurance quotes from multiple carriers to secure the most suitable professional liability coverage for their specific needs (Read More).
Best Professional Liability Insurance Companies in California
| ERGO NEXT | 4.73 | $81 |
| The Hartford | 4.62 | $80 |
| Simply Business | 4.51 | $85 |
| Nationwide | 4.46 | $91 |
| biBERK | 4.44 | $89 |
| Coverdash | 4.44 | $87 |
| Progressive Commercial | 4.39 | $84 |
| Hiscox | 4.37 | $85 |
| Chubb | 4.27 | $99 |
| Thimble | 4.25 | $84 |
How Did We Determine the Best Professional Liability Insurance in California?
These rates are estimates based on MoneyGeek's proprietary analysis of small businesses with two employees across 79 major industries and should not be considered quotes. Your actual rate will differ based on business-specific factors. Contact insurers directly for accurate pricing tailored to your business needs.
LEARN MORE ABOUT BUSINESS INSURANCE IN CALIFORNIA
Professional liability insurance covers just one aspect of protecting your California business. Explore these additional state-specific guides for comprehensive coverage:
1. ERGO NEXT: Best Professional Liability Insurance in CA
pros
Ranks first nationally for customer service and digital experience
Get quotes, buy coverage and COIs in about 10 minutes
A+ Superior AM Best rating backed by Munich Re
Coverage for 1,300+ professions with prior acts options
cons
Founded in 2016 with shorter track record than traditional insurers
Some customers report slower claims resolution times
Limited human support options compared to agent-based carriers
COMPANY HIGHLIGHTS
California small business owners will find ERGO NEXT the best overall professional liability insurer due to its top-ranked customer service and digital platform. ERGO NEXT combines competitive rates at $81 monthly ($969 annually) with a streamlined experience that lets you quote, purchase and manage policies through its website or mobile app. From San Francisco tech consultants to Los Angeles creative agencies, ERGO NEXT serves 1,300+ professions with tailored E&O coverage, instant Certificates of Insurance (COIs) at no extra cost and prior acts protection. The insurer's September 2025 upgrade to an A+ Superior AM Best rating adds financial confidence for California businesses.
2. The Hartford: Cheapest Professional Liability Insurance in CA
pros
Lowest professional liability rates in California at $80 monthly
A+ Superior AM Best rating with 200+ years in business
Ranks first nationally for claims handling satisfaction
Specialized E&O coverage for tech, legal and medical professionals
cons
Not available in Alaska and Hawaii
Digital experience ranks below competitors
Requires agent contact to finalize policy purchase
COMPANY HIGHLIGHTS
The Hartford stands out as the cheapest professional liability insurer in California at $80 monthly ($955 annually), saving businesses $7 compared to the state average. The insurer pairs affordable rates with top-ranked claims handling, where customers rate it first nationally. Backed by 200+ years of experience and an A+ Superior AM Best rating, The Hartford offers California businesses from San Diego consultants to Silicon Valley tech firms specialized E&O coverage including tech errors and omissions and malpractice insurance. Business owners who value agent expertise and proven claims support will find The Hartford delivers strong value despite a less polished digital experience.
3. Simply Business: Best Professional Liability Insurance Coverage Options in CA
pros
Ranks first nationally for coverage options with 16+ carrier partners
Backed by Travelers' A++ Superior AM Best rating
Compare multiple quotes in 10 minutes from one application
BBB-accredited with A+ rating and 1 million+ customers served
cons
Claims handled by third-party carriers, not directly
Customer service ranks eighth nationally for response times
Rates run slightly higher than direct insurers
COMPANY HIGHLIGHTS
Simply Business ranks first nationally for professional liability coverage options, making it ideal for California businesses with specialized or hard-to-place risks. The broker model connects you with 16+ carriers including Travelers, Hiscox, CNA and Markel through a single application, letting you compare multiple E&O quotes in about 10 minutes.
At $85 monthly ($1,026 annually), rates run slightly above competitors, but Los Angeles creative agencies and Bay Area consultants gain access to tailored policies that direct insurers may not offer. Travelers' A++ Superior AM Best rating provides financial backing, and business owners needing unique coverage combinations will find the broker approach worth the modest premium difference.
Average Cost of Professional Liability Insurance in California
Professional liability insurance costs in California vary across industries. Home-based businesses pay the most affordable rates at around $41 per month, while mortgage brokers face the highest costs at approximately $183 per month. You can find specific rates for your industry using the filtering tool below to compare options for your business.
Data filtered by:
Select
| Accountants | $159 | $1,911 |
| Ad Agency | $111 | $1,333 |
| Auto Repair | $91 | $1,095 |
| Automotive | $83 | $1,000 |
| Bakery | $60 | $723 |
| Barber | $47 | $567 |
| Beauty Salon | $55 | $655 |
| Bounce House | $66 | $793 |
| Candle | $47 | $564 |
| Cannabis | $137 | $1,648 |
| Catering | $88 | $1,056 |
| Cleaning | $62 | $745 |
| Coffee Shop | $68 | $821 |
| Computer Programming | $117 | $1,401 |
| Computer Repair | $70 | $835 |
| Construction | $86 | $1,029 |
| Consulting | $120 | $1,437 |
| Contractor | $71 | $846 |
| Courier | $56 | $676 |
| DJ | $51 | $612 |
| Daycare | $120 | $1,445 |
| Dental | $92 | $1,104 |
| Dog Grooming | $60 | $722 |
| Drone | $120 | $1,441 |
| Ecommerce | $70 | $836 |
| Electrical | $71 | $849 |
| Engineering | $116 | $1,386 |
| Excavation | $77 | $919 |
| Florist | $42 | $505 |
| Food | $124 | $1,487 |
| Food Truck | $66 | $794 |
| Funeral Home | $90 | $1,081 |
| Gardening | $45 | $538 |
| HVAC | $91 | $1,088 |
| Handyman | $60 | $719 |
| Home-based business | $41 | $492 |
| Hospitality | $83 | $992 |
| Janitorial | $56 | $672 |
| Jewelry | $67 | $806 |
| Junk Removal | $74 | $891 |
| Lawn/Landscaping | $57 | $687 |
| Lawyers | $160 | $1,917 |
| Manufacturing | $66 | $797 |
| Marine | $99 | $1,191 |
| Massage | $116 | $1,392 |
| Mortgage Broker | $183 | $2,196 |
| Moving | $93 | $1,119 |
| Nonprofit | $56 | $673 |
| Painting | $70 | $841 |
| Party Rental | $61 | $730 |
| Personal Training | $79 | $950 |
| Pest Control | $105 | $1,261 |
| Pet | $51 | $617 |
| Pharmacy | $65 | $776 |
| Photography | $73 | $870 |
| Physical Therapy | $107 | $1,285 |
| Plumbing | $100 | $1,194 |
| Pressure Washing | $64 | $773 |
| Real Estate | $137 | $1,644 |
| Restaurant | $92 | $1,103 |
| Retail | $60 | $726 |
| Roofing | $108 | $1,296 |
| Security | $112 | $1,346 |
| Snack Bars | $53 | $631 |
| Software | $105 | $1,257 |
| Spa/Wellness | $123 | $1,473 |
| Speech Therapist | $111 | $1,337 |
| Startup | $81 | $975 |
| Tech/IT | $108 | $1,301 |
| Transportation | $105 | $1,258 |
| Travel | $110 | $1,315 |
| Tree Service | $86 | $1,027 |
| Trucking | $125 | $1,504 |
| Tutoring | $66 | $798 |
| Veterinary | $128 | $1,537 |
| Wedding Planning | $86 | $1,028 |
| Welding | $85 | $1,020 |
| Wholesale | $68 | $811 |
| Window Cleaning | $72 | $860 |
How Did We Determine These California Professional Liability Insurance Rates?
These rates are estimates based on MoneyGeek's proprietary analysis of small businesses with two employees across 79 major industries and should not be considered quotes. Your actual rate will differ based on business-specific factors. Contact insurers directly for accurate pricing tailored to your business needs.
What Does California Professional Liability Insurance Cover?
California professional liability insurance protects your business when clients claim you made mistakes or failed to deliver promised services. The policy covers damages from these claims and pays for legal costs when you face lawsuits. This coverage goes by several different names:
- Errors and omissions insurance (E&O)
- Malpractice insurance (specialized type, typically in legal and medical fields)
- Professional indemnity insurance
How Much Professional Liability Insurance Do I Need in California?
California doesn't mandate professional liability insurance for most businesses, though contracts and employers often require it. Most contracts specify $1 million per occurrence and $2 million aggregate annually. Law firms operating as LLPs must carry at least $1 million in E&O coverage under California Corporations Code §16956. Health care providers working with hospitals typically need $1 million per occurrence and $3 million aggregate for credentialing.
Who Needs Professional Liability Insurance in California?
California businesses providing professional services or expert advice need professional liability coverage. The following industries have elevated risk of negligence claims and contractual disputes in the state.
Tech Professionals
Software developers, IT consultants and tech startups in the Bay Area have heightened exposure to claims involving coding errors, system failures and project delays. Specialized tech E&O insurance covers these risks, including data breach liability that's especially relevant under California's strict privacy laws.
Medical Professionals
Health care providers in California must carry malpractice insurance to meet hospital credentialing requirements and participate in major health plans. The state's high volume of malpractice claims makes coverage essential for physicians, nurses and therapists practicing anywhere from Los Angeles medical centers to rural clinics.
Real Estate Professionals
High-value properties and complex disclosure requirements create substantial liability exposure for California agents and brokers. Policies covering [errors and omissions insurance for real estate](insert link) protect against claims involving property condition misrepresentation, wildfire risk disclosure failures and transaction errors.
Construction and Contractor Professionals
Major state investments in infrastructure and renewable energy projects mean contractors carry significant design and build liability. While not state-mandated, clients and general contractors routinely require E&O coverage for architects, engineers and specialty subcontractors working on commercial projects.
Entertainment and Media Professionals
Film, television and digital content production in California creates unique professional liability exposures around intellectual property disputes, talent contract breaches and production delays. Producers, directors and creative agencies benefit from coverage tailored to entertainment industry risks that don't exist elsewhere in the country.
How to Get the Best Professional Liability Insurance in California
Our step-by-step guide walks you through how to get business insurance in California that matches your professional liability needs and budget. Follow these steps to secure the right E&O coverage for your business.
- 1Assess your professional liability insurance coverage needs
Start by evaluating your business risks and any contractual requirements clients or partners impose. A San Francisco software developer working with enterprise clients needs different coverage limits than a San Diego freelance graphic designer serving small businesses.
- 2Work with a local agent
Find an agent who understands California's diverse business landscape and how business insurance costs vary across regions and industries. Local agents can explain whether your Silicon Valley tech startup requires different coverage than a similar business operating in Sacramento's growing professional services market.
- 3Get quotes and compare coverage details
Request quotes from at least three insurers, comparing affordable business insurance rates alongside policy terms like exclusions and deductibles. A Los Angeles entertainment consultant should examine coverage differences, not just premium costs, when evaluating $1 million liability policies from different carriers.
- 4Research the best providers
Look beyond price when researching professional liability insurers for your California business. Check AM Best financial ratings, review claims handling reputation and verify the insurer has experience with your specific industry.
- 5Consider bundling discounts
Many California insurers offer lower premiums when you combine professional liability with other types of business insurance like general liability or a business owner's policy. A Bay Area marketing agency, for example, saves 15% by bundling its professional and general liability coverage with commercial property insurance.
- 6Don't let your coverage lapse
Professional liability policies protect you only from claims filed while your policy's active, even if the work happened years earlier. An Oakland consultant switching carriers should ensure the new policy covers prior acts or purchase tail coverage (extended reporting coverage that protects against claims filed after your policy ends) from the previous insurer.
Get California Professional Liability Insurance Quotes
MoneyGeek connects California professionals with top professional liability insurers tailored to your industry. Use our matching tool below to find the right insurer and get tailored quotes for your business.
Get Matched to the Best CA Professional Liability Insurer for You
Select your industry and state to get a customized CA professional liability insurer match and get tailored quotes.
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California Professional Liability: Bottom Line
Finding the right professional liability insurance in California comes down to understanding your business risks and working with the right provider. ERGO NEXT earns our top rating, but your industry, client contracts and budget should guide your final decision. Start by assessing your needs, then let a local agent help you compare options and secure coverage that financially protects your business.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.