professional liability

Professional liability refers to the legal responsibility professionals have if their advice or services cause harm or financial loss to a client. It covers mistakes, negligence, or failure to perform duties properly. For example, if a doctor misdiagnoses a patient or an accountant makes errors in financial statements, they could be held liable. This type of liability often involves insurance to help cover legal costs or damages. Essentially, it ensures professionals are accountable for the quality and accuracy of their work, encouraging diligent, competent service while providing protection for clients against potential mistakes.