Errors and omissions insurance cost in Canada depends mostly on what you do, how much you bill and the limit your clients ask for. For an example consultant with $150,000 in revenue and a $2 million limit, Instasure's model estimates $1,170 to $2,030 a year, as of October 2026. That estimate packages E&O with general liability. Below you'll find a dated table by profession at two limits, the programs that set E&O for some professions, and the levers that lower your premium.
How much does errors and omissions insurance cost?
For a consultant or IT professional with $150,000 in revenue, one employee and a $2 million liability limit, Instasure's model estimates E&O packaged with general liability at $1,170 to $2,030 a year. That's about $98 to $169 a month, as of October 2026. Real estate services run higher, and online businesses run lower.
There's no single E&O insurance price Canada-wide. Insurers price each firm on its services, revenue, limits, contracts and claims record. So this guide gives modelled estimates for stated example profiles and shows how each factor moves them. A licensed advisor confirms real prices from insurers before you buy.
E&O, also called professional liability, covers claims that your advice or service caused a client a financial loss. The Insurance Bureau of Canada glossary describes these policies as generally designed to cover financial losses, rather than bodily injury or property damage. Injury and property damage fall under commercial general liability (CGL). That's why our professional liability insurance estimate includes both. For CGL, property and cyber on their own, see our guide to small business insurance cost.
E&O insurance cost by profession (October 2026)
Here's how errors and omissions insurance cost varies by business type and limit. The table shows Instasure estimates for one example profile in each type: $150,000 in annual revenue, one employee, and a package of CGL plus E&O. The last column shows the same profile with CGL only, so you can see how much of the price is E&O.
| Business type (model category) | $1M liability limit: yearly range (typical) | $2M liability limit: yearly range (typical) | $2M limit without E&O (typical yearly) |
|---|---|---|---|
| Consulting, IT or other professional services | $1,110 to $1,920 ($1,480) | $1,170 to $2,030 ($1,560) | $560 |
| Real estate or property services | $1,500 to $2,590 ($1,990) | $1,580 to $2,740 ($2,110) | $770 |
| Health and wellness practitioner | $1,070 to $1,860 ($1,430) | $1,140 to $1,980 ($1,520) | $600 |
| Retail, studio or clinic | $1,330 to $2,300 ($1,770) | $1,460 to $2,540 ($1,950) | $1,200 |
| E-commerce or online business | $1,000 to $1,740 ($1,340) | $1,080 to $1,870 ($1,440) | $690 |
Rates as of October 2026: Instasure estimates for an example profile (Ontario, $150,000 revenue, one employee, CGL plus E&O). These are modelled figures, not quotes and not averages of policies sold. Our model gives the same estimate in every province for these business types. Ontario real estate registrants get their E&O through RECO's program (see below), so the real estate row suits property services outside a mandatory program.
Three patterns stand out:
- Business type sets the baseline. At a $2 million limit, the typical estimate runs from $1,440 a year for an online business to $2,110 for real estate services.
- E&O is most of the price for advice-based work. For the consultant, dropping E&O takes the typical estimate from $1,560 to $560 a year.
- A higher limit adds less than you might expect. Moving from $1 million to $2 million adds $80 to $180 a year to the typical estimate. In our model, the limit changes the general liability part of the package. The E&O part is priced on business type and revenue.
Professions our model doesn't price yet
Our estimate engine has no separate model yet for engineers, accountants, lawyers, or insurance and mortgage professionals. Many of them buy E&O through a professional program or must meet a regulated minimum, covered below. Their prices depend heavily on specialty, firm size and claims, so a licensed advisor quotes them directly.
Limits, deductibles and retroactive dates
Three policy terms shape both the price and how well E&O protects you.
Limits. E&O limits often come in two parts: an amount per claim and a total for the policy year. RECO's program for Ontario real estate registrants, for example, carries an E&O limit of $2 million per claim and $4 million a year. Also check whether defence costs sit inside the limit. LAWPRO's standard policy for Ontario lawyers provides $1 million per claim and $2 million in aggregate, and those limits cover claim expenses and settlements together. A long defence uses up part of the limit.
Deductibles. A higher deductible generally lowers the premium, but only helps if you can pay it. LAWPRO's standard deductible is $5,000 per claim. CPA Ontario requires public accounting firms to keep a deductible that is reasonable for their revenue. Firms must also hold cash or cash equivalents at least equal to it. That's a sound test for any professional.
Claims-made cover and retroactive dates. E&O is commonly written on a claims-made basis. The policy that responds is generally the one in force when the claim is made, not when the work was done. Many claims-made policies also have a retroactive date, and work done before it isn't covered. Keep your cover continuous. When you switch insurers, ask the new one to keep your original retroactive date.
Claims can arrive long after a project ends. That's why CPA Ontario requires firms to keep cover for at least six years after a member stops practising public accounting.
Revenue, contracts and claims history
Revenue. In our model, revenue moves the estimate even more than business type. Here's how it moves the consultant estimate at a $2 million limit.
| Annual revenue | Yearly range | Typical yearly | Typical monthly |
|---|---|---|---|
| $50,000 | $800 to $1,380 | $1,060 | $89 |
| $150,000 | $1,170 to $2,030 | $1,560 | $130 |
| $400,000 | $1,650 to $2,860 | $2,200 | $183 |
| $1,000,000 | $2,270 to $3,940 | $3,030 | $253 |
| $3,000,000 | $3,340 to $5,790 | $4,450 | $371 |
Instasure estimates for an example profile (consulting, IT or professional services, Ontario, one employee, $2 million limit, CGL plus E&O), as of October 2026.
How much is E&O insurance for consultants?
For the consultant profiles above, the typical estimate runs from $1,060 a year at $50,000 of revenue to $4,450 at $3 million. Staff count matters much less. Going from no employees to 10 moves the typical estimate from $1,550 to $1,680 a year.
Contracts. Clients often set the limit you need. Read the insurance clause before you buy. Check the limit, whether it's per claim or in aggregate, and how long you must keep cover after the work ends. Buying more than the contract needs costs more. Buying less can cost you the contract. Our business coverage checker suggests a baseline in a few minutes.
Claims history. Insurers ask about past claims when they price E&O. Our estimate doesn't model them, so a past claim can mean a higher quote than these figures. Tell your insurer about any situation that could turn into a claim, as your policy requires.
Mandatory programs vs open-market E&O
In some professions, E&O is a condition of practice, and a program or regulator sets the cover. Here are Ontario examples, taken from the regulators and programs themselves.
| Profession (Ontario) | Program or regulator | What's required |
|---|---|---|
| Real estate agents and brokerages | Real Estate Council of Ontario (RECO) | Insurance through RECO's program is a condition of registration. E&O limit: $2 million per claim and $4 million a year since September 1, 2025, up from $1 million and $3 million. |
| Lawyers in private practice | LAWPRO | Standard policy of $1 million per claim and $2 million in aggregate, with a $5,000 standard deductible. Optional excess cover sits above it. |
| Public accounting firms | CPA Ontario, Regulation 14-1 | Professional liability cover with minimum limits that rise with the number of members, kept for at least six years after a member stops practising. |
| Engineering firms with a Certificate of Authorization | Professional Engineers Ontario (PEO) | Professional liability cover, or written disclosure to each client that the firm isn't insured, with the client's written acknowledgement. |
| Life insurance agents | Financial Services Regulatory Authority of Ontario (FSRA) | E&O of at least $1 million per occurrence, with extended coverage for fraudulent acts, kept in force even when not selling. |
| Mortgage brokerages and administrators | FSRA | E&O from an approved insurer of at least $500,000 per occurrence and $1 million for all occurrences in a year, with extended coverage for fraudulent acts. |
Sources: RECO and its insurance program page, LAWPRO, CPA Ontario, PEO, and FSRA for life agents and mortgage brokerages.
Other provinces have their own regulators and programs, and the rules differ, so check with yours. Our pages on E&O in Ontario, British Columbia and Alberta explain how cover works where you practise.
If your profession has no mandatory program, you buy E&O on the open market. That's typical for consultants, IT firms and designers. Prices and policy wordings vary between insurers, so comparing them is worth the time.
How to lower your professional liability insurance cost
- Match the limit to your contracts. In our model, a $2 million limit adds $80 to $180 a year over $1 million. Buy what your contracts and risks need.
- Pick a deductible your cash can cover. Keep at least the deductible in reserve, as CPA Ontario requires of accounting firms.
- Describe your services precisely. Business type drives the price, so state what you do and what you don't.
- Put scope in writing. Engagement letters, clear deliverables and notes of your advice make a claim easier to defend.
- Keep cover continuous. A gap can cost you your retroactive date and leave past work uninsured.
- Package E&O with general liability. Our estimates price them together, and a business insurance package can add property and business interruption cover.
- Treat cyber as its own decision. If you hold client data, look at cyber insurance as a separate cover.
- Compare at renewal. Open-market prices and wordings vary by insurer, so get fresh quotes before you renew.
Count the after-tax cost. The Canada Revenue Agency says you can generally deduct any reasonable current expense you incur to earn business income. Employees who pay their own premiums have a narrower rule. CRA's line 21200 guidance covers professional or malpractice liability premiums needed to keep a professional status recognized by statute.
How we built these estimates
- Source. All Instasure figures come from our estimate engine, last reviewed in October 2026. They are modelled estimates for example profiles, not quotes or offers.
- Method. The model starts from a base premium for general liability and for E&O in each business type. Both adjust for revenue. The general liability part also adjusts for staff and the limit.
- Range. Each range runs from about 25% below the typical figure to 30% above it, to reflect differences between insurers and firms.
- Not modelled. Claims history, deductibles, retroactive dates, contract terms and province.
- Updates. We plan to refresh this guide every quarter.
Michael's take
As a planner, I see E&O as protection for everything else in your plan. For a self-employed professional, the business and the household often share one balance sheet. A claim you eventually win still has to be defended, and on some policies that defence comes out of your limit. My rule of thumb is to set the limit by your largest contract and the deductible by your emergency fund. Then keep the policy running without a gap.
I'd also read the wording before comparing prices. Check who's covered, whether defence costs reduce the limit, your retroactive date and what happens when you retire or close the business. For a self-employed professional, the premium is generally a deductible business expense, so the after-tax cost is lower than the sticker price. That's one more reason not to trim the limit to save a few dollars a month.
Next steps
Your own price depends on your services, revenue and the limit your contracts require. Get an instant professional liability estimate in about a minute. Then review cover options on our E&O and professional liability page. A licensed advisor in your province can compare insurers and confirm real quotes. Advisor service isn't available in Quebec or the territories yet, so figures there are for information.
