Professional liability coverage for negligence and errors and omissions does not cover which of the following?

• A. Intentional Acts, Misappropriations, Fraud or Forgery
• B. Bodily Injury
• C. Property Damage
• D. Defense Costs

Answer: (A)

The main idea here is that professional liability coverage (negligence and errors and omissions) is meant to protect against accidental mistakes in providing professional services, not against intentional wrongdoing. Intentional acts, misappropriation, fraud, or forgery are excluded because they are deliberate—coverage is not designed to indemnify clients for deliberate harm or deceit.

Bodily injury and property damage are typically outside professional liability and are handled by general liability policies, so they wouldn’t be the type of loss this coverage aims to protect against. Defense costs are usually included in professional liability policies as part of defending a claim arising from professional services.

So the item that does not fit within this coverage is intentional acts, misappropriations, fraud, or forgery.