Professional liability insurance—sometimes called malpractice insurance or errors and omissions insurance—is insurance that may be purchased by attorneys and law firms to pay the costs of defending legal malpractice claims, and the costs of settling such claims or paying the judgment awarded to a plaintiff on such a claim. Most states do not require attorneys to purchase professional liability insurance, but some states require attorneys who do not carry professional liability insurance to provide notice to their clients of that fact. Some states require attorneys to have their clients sign a written disclosure that the attorney does not have professional liability insurance.

In New York, attorneys are not mandated by state law to carry professional liability insurance, also known as malpractice insurance or errors and omissions insurance. However, New York does have a disclosure requirement for attorneys who are not insured. Rule 1.4 of the New York Rules of Professional Conduct requires attorneys who do not maintain professional liability insurance to inform their clients in writing at the time of engagement or at any time thereafter if the insurance is dropped. The written notice must be signed by the client, acknowledging that they have been informed of the lack of insurance. This requirement is designed to ensure that clients are aware of the risks involved in hiring an attorney without malpractice insurance and can make informed decisions about their legal representation.