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If your business works directly with customers by providing services, we recommend a professional liability insurance policy. Professional liability insurance, also called errors and omissions insurance (E & O insurance), protects your business if you are sued for negligently performing your services, even if you haven't made a mistake. For example, if you make a clerical error that costs a client thousands of dollars or if you work as a photographer and accidentally damage a client’s wedding photos. Professional liability insurance will help cover the costs and fees associated with the incident.