IBISWorld Platform
Answer any industry question in minutes with our entire database at your fingertips.
Professional Indemnity Insurance in the US Procurement Price, Data and Insights
Professional indemnity insurance, also known as professional liability insurance or errors and omissions insurance, provides coverage against negligence claims made by clients. In medical professions, it is commonly referred to as medical malpractice insurance. Specifically, it covers the cost of defending a claim in court and pays any damages awarded to the litigant. Different types of indemnity include repairs, replacement, cash payments, and reinstatement. The primary suppliers are direct insurance carriers and agents and brokers. Key buyers include healthcare providers, law firms, and technology companies.
Access this data your way
The Professional Indemnity Insurance Procurement Price, Data and Insights is available in multiple formats to fit seamlessly into your workflow.
API Data Delivery
Feed trusted, human-driven industry intelligence straight into your platform.
Integrations
Streamline your workflow with IBISWorld’s intelligence built into your toolkit.
What’s included in this market coverage
IBISWorld's research coverage on the Professional Indemnity Insurance procurement and pricing environment in the United States includes market dynamics, buyer power scores, supply chain vendors with pricing trends and forecasts.
About this Market
What’s this procurement report about?
This procurement coverage of the Professional Indemnity Insurance market in the United States includes General Professional Liability or Errors & Omissions Insurance, Medical Malpractice Insurance, Legal Malpractice Insurance, Surgeon Malpractice Insurance, Architects/Engineers Errors & Omissions Insurnace, Accountants Errors & Omissions Insurance, Errors & Omissions Insurance for Technology Companies, Consultants Errors & Omissions Insurance and Professional Liability Insurance. Standard coding in this coverage includes ISIC-6512-Non-life insurance, NACE-65.12-Non-Life Insurance, NAICS-524126-Direct Property and Casualty Insurance Carriers and UNSPSC-84131516-Professional indemnity insurance.
What common market terminology is included?
Common market terminology included in the Professional Indemnity Insurance procurement coverage includes Premium (The price per employee that the buyer pays for insurance coverage, typically on an annual basis.), Risk Exposure (The loss that a buyer may incur as the result of an event that triggers a claim.), Retroactive Dates (A feature of professional indemnity insurance that covers losses incurred before the policy start date.), Tail Coverage (After an insurance policy has expired, the insured party may report a claim that occurred when the policy was active. Tail coverage only applies to a limited time period, and it does not reinstate the expired policy.), Underwriting (The process that insurance carriers use to determine the risk exposure of buyers, whether to provide them coverage and what their premium will be.), Actuarial Model (The mathematical model that insurance underwriters use to determine risk and benefits for buyers.) and Punitive Damages (The compensation the buyer may have to pay to the plaintiff in the case they are brought to trial and found guilty.).
What companies are included as top suppliers?
The top companies covered in the Professional Indemnity Insurance procurement report as suppliers are American International Group, Inc., the Travelers Companies, Inc., Chubb Ltd, Allstate Corp and Zurich Insurance Group Ltd..
Opportunity Assessment
What’s included in the Opportunity Assessment chapter?
The Opportunity Assessment chapter provides a comprehensive market analysis of the Professional Indemnity Insurance market in the United States category, including buyer power scoring, market pricing trends, vendor landscape, cost structure, and strategic negotiation levers.
The market pricing trends include the Market Price (2026) per employee per year, a five year price forecast and a supply chain risk score. Vendor coverage includes a market share and cost structure breakdown.
Analysis includes a comprehensive SWOT analysis of and recent developments impacting the Professional Indemnity Insurance market environment.
Buyer Power Score
What’s included in the Buyer Power Score chapter?
The Buyer Power Score chapter assesses key components impacting Professional Indemnity Insurance procurement including the recent price trend, forecast price trend, availability of substitutes, switching costs, product specialization, average vendor risk, market share concentration, supply chain risk, price driver volatility and recent price volatility.
These components generate a Buyer Power Score that ranges from -5 (strongly favoring sellers) to +5 (strongly favoring buyers) plus a recommended strategy for procurement specialists.
Price Environment
What’s included in the Price Environment chapter?
The Price Environment chapter covers detailed pricing analysis and datasets on Professional Indemnity Insurance market environment. This includes insights into market pricing Market Price (2026), price forecasts, volatility, specialization, substitutes and switching costs.
Datasets in the Price Environment chapter include vendor cost structure, breakdowns of wage rates by geography and specialty, key external economic and labor drivers impacting the market and market pricing models.
Supply Chain & Vendors
What’s included in the Supply Chain & Vendors chapter?
The Supply Chain & Vendors chapter covers the concentration, risk and diversity of the Professional Indemnity Insurance market. This includes datasets on the market’s top suppliers, detailed analysis on the key sourcing risks and supply chain dynamics, with environmental, social and governance (ESG) considerations and scores.
Business Requirements
What’s included in the Business Requirements chapter?
The Business Requirements chapter covers vendor relationships, qualifications, service level agreements and key performance indicators. These inputs provide insight into the planning process through the buying lead time, vendor relationship and vendor qualifications. The sourcing process include key RFP elements like an organizational overview, project budget, selection criteria, project schedule, proposal format, inventory control, cost containment, regulation, quality control, distribution and key contract clauses.
Trusted by industry professionals
More than 6,000 businesses use IBISWorld to shape local and global economies
We were able to supplement our reports with IBISWorld’s information from both a qualitative and quantitative standpoint. All of our reporting now features some level of IBISWorld integration.
IBISWorld delivers the crisp business knowledge we need to drive our business. Whether it be serving up our major clients, winning new business or educating on industry issues, IBISWorld brings real value.
IBISWorld has revolutionised business information — which has proved commercially invaluable to exporters, investors and public policy professionals in Australia and overseas.
When you’re able to speak to clients and be knowledgeable about what they do and the state that they operate in, they’re going to trust you a lot more.
Frequently Asked Questions
What is the current market price for Professional Indemnity Insurance?
The 2026 benchmark market price for Professional Indemnity Insurance is $1370 per employee per year. Prices have increased at a CAGR of 1.5 from 2023-26.
Who are the top vendors in the Professional Indemnity Insurance market?
The top vendors in the Professional Indemnity Insurance market include American International Group, Inc., the Travelers Companies, Inc., Chubb Ltd, Allstate Corp and Zurich Insurance Group Ltd..
What industries supply the Professional Indemnity Insurance market?
The top industries supplying the Professional Indemnity Insurance market are Computer & Packaged Software Wholesaling in the US, Computer Manufacturing in the US, Internet Service Providers in the US, Telecommunication Networking Equipment Manufacturing in the US, Office Supply Stores in the US, Art & Office Supply Manufacturing in the US, Portfolio Management & Investment Advice in the US, Custody, Asset & Securities Services in the US, Reinsurance Carriers in the US and Insurance Brokers & Agencies in the US.
What is the supply chain risk for Professional Indemnity Insurance?
Low market share concentration unlocks price competition and increases buyer negotiation leverage. The professional indemnity insurance market features low supplier concentration, with no single provider holding a dominant market share. This competitive landscape empowers buyers to solicit bids from a broad pool of vendors, driving more favorable pricing and contract terms. Buyers can leverage the availability of other suppliers when negotiating for coverage and negotiate customized policy elements to capitalize on these dynamics and maximize value.
What factors affect the price of Professional Indemnity Insurance?
The limit of indemnity directly affects the premium pricing of professional indemnity insurance, as higher limits typically result in increased risk for insurers, leading to higher premiums. For example, a law firm opting for a limit of indemnity of $5.0 million may pay significantly more than one choosing a $1.0 million limit, reflecting the greater potential liability and costs associated with defending larger claims.
Cut through the noise with intelligence you can trust
