Septic encephalopathy (SE) or sepsis-associated delirium is the most common encephalopathy in ICU patients. It is defined by brain dysfunction due to systemic inflammatory response syndrome and extracranial infection. Clinically, acute impairment in level of consciousness and confusion are primarily defining symptoms. Precise clinical evaluation of brain function is crucial, although the necessary diagnostic tools are limited and require further verification in clinical studies. Therefore, SE is often underestimated and not frequently diagnosed. This review gives an overview of clinical features, epidemiological data, pathophysiological processes, imaging and neuropathological findings as well as diagnostic and therapeutic approaches in SE patients to characterize this severe neurological complication of sepsis.