Professional liability and professional indemnity describe the same cover under two names. Professional indemnity is the United Kingdom term; professional liability, and errors and omissions, are the American ones. What differs is not the idea but the wording, and wordings drafted for one market can sit awkwardly in the other.
The same idea
Both answer for financial loss caused to a client by a negligent act, error or omission in professional work, and both pay the cost of defending the allegation. Both are written on a claims made basis. A UK contract asking for professional liability is asking for professional indemnity.
Where the wordings differ
A policy drafted for the United States market carries American definitions, jurisdiction and territorial clauses, and assumptions about how claims are brought. A UK business insured on such a wording can find regulatory costs and defence arrangements sitting in the wrong place. Buy the wording for the market your clients are in.
Errors and omissions
The same product again, most often used in the United States for technology, media and financial services. UK contracts occasionally use it, usually because the client or their parent company is American. It means professional indemnity and should be answered with it.
What to do when a contract uses the American name
Confirm with the client that professional indemnity satisfies the requirement, which it almost always does, and check the territorial and jurisdiction clauses on your policy if the client is American. Those two clauses, not the product name, are what decide whether the cover reaches.
Questions people ask about is professional liability the same as professional indemnity
Are they the same?
Yes, under two names. Professional indemnity is the UK term; professional liability and errors and omissions are the American ones.
Does it matter which wording I buy?
Yes. Territorial and jurisdiction clauses differ, and a wording drafted for another market can leave UK regulatory costs in the wrong place.
A US client asked for errors and omissions. What do I buy?
Professional indemnity, and check the territorial and jurisdiction clauses on the policy.