The answer might seem obvious, but there are many reasons why a lawyer should purchase professional liability insurance. You spent so much time and money investing in the opportunity to become an attorney. You went to law school and then all the time you spent prepping for the Bar. You passed and became a practicing attorney. Why not protect that professional investment with peace of mind? After all, that’s what professional liability insurance is: security and protection of your assets from the financial devastation of a claim, grievance or inquiry.
Malpractice insurance serves many purposes. Typically, malpractice policies are designed to provide coverage for claims that arise from “wrongful acts” committed in the rendering of legal services (sometimes called professional services) in your capacity as a lawyer. Generally, they provide both indemnification coverage and claims expense coverage, subject to specified deductibles and endorsements.
Let’s explore some of those reasons for coverage:
- While you always do your best, maintain professionalism and do everything in your power to get the very best outcome for your client, you can never be certain of your client’s expectations or satisfaction level. After all, human beings can be very difficult to please!
- The reality is that NO attorney is perfect. Even if you practice excellent risk management techniques, you may make a minor mistake that results in a claim.
- Receive objective advice should a malpractice claim arise;
- Minimize the time and money you spend to defend yourself;
- Have the satisfaction of knowing an expert attorney in handling professional liability claims is defending your claim;
- Reduce the chance that a claim will result in a severe financial hardship;
- Ensure a prompt and reasonable settlement or dismissal of a claim;
- Save time and reduce the frustration of dealing with frivolous claims;
- Provide protection for your professional reputation;
- Ease the financial burden of possible settlements and judgments against you;
- Protect your clients from significant financial losses;
- Allow you to protect the interests of your clients as you deal with claims.
These are just some of the many reasons to purchase malpractice insurance. As you consider different providers and policies, make sure you understand the all the possible benefits of professional liability insurance, the various acts that lead clients to make claims and the restrictions and requirements that apply to your policy. Your professional reputation and financial security may depend on the legal protection of professional liability insurance.
At Hirsch Insurance, we are here to steer your through those troubled waters. Our expertise and dedication to lawyers’ professional liability insurance can help you find the coverage your firm needs to protect those assets.