What Kinds of Protections Do Attorney Policies Offer?
The insurance protections contained within attorney policies can be broadly categorized into general business insurance coverages and attorney malpractice insurance coverages.
General business insurance coverages help protect attorneys from risks that their firm and many other businesses face. Some examples of general business coverages that an attorney policy may provide are:
Attorney malpractice insurance coverage is a form of errors and omissions insurance that’s written specifically for attorneys. Just as medical malpractice insurance helps protect doctors who make mistakes, this coverage can often help protect attorneys who make covered errors.
(As is the case with many insurance policies, the exact coverages contained within an attorney policy can vary. Attorneys should carefully review their policy’s coverages with an independent insurance agent so they fully understand the protections afforded by the policy.)
What Sorts of Incidents Does Attorney Malpractice Insurance Coverage Protect Against?
As a form of errors and omissions insurance, attorney malpractice insurance coverage generally protects against mistakes that attorneys make in their primary area of work.
In addition to this protection, many policies also offer coverage for incidental work that’s carried out by an attorney. Incidental activities that a policy’s attorney malpractice insurance coverage might cover include:
- Serving as a notary public
- Serving as a trustee or executor
- Serving as a title agent
- Serving as an officer, director or member of a professional organization
Of course, there are some activities that are excluded from an attorney policy’s coverages. Commonly excluded activities include:
- Legal services that are provided for a business the attorney owns or controls
- Services that are provided as a fiduciary under the ERISA ACT
- Suits filed by attorneys who work for the same firm
- Criminal, fraudulent, malicious or dishonest acts
What is a “Claims Made” Policy?
The majority of attorney policies are “claims made” insurance policies. This means they normally only cover incidents that have been reported during their effective period. They might have retroactive dates or discovery periods that define when a covered incident could have occurred, but when a claim is filed also has a large impact on whether the claim is covered. To be covered, a claim usually must be filed while the policy’s still in effect.
Who in Massachusetts Needs an Attorney Policy?
Most attorneys who practice in Massachusetts should have an attorney policy. This includes both attorneys who are based in the state, as well as those who have offices in other states but are licensed in Massachusetts. Without a policy, attorneys are dangerously unprotected from the risks they face.
How Can Attorneys Get Quotes for Attorney Insurance?
For help finding attorney insurance, attorneys in Massachusetts should contact a Feingold Companies independent insurance agent. Our independent agents will be able to help attorneys assess their risk exposure, select coverages to protect them and obtain quotes for attorney policies that offer those coverages.
