LEGAL MALPRACTICE INSURANCE LABOR LAWYERS

Legal Malpractice Insurance Labor LawyersLegal Malpractice Insurance Labor Lawyers,  Attorney Liability Insurance Labor Lawyers: Coverage, Limits, Deductible, and Premium, Optimized for Your Firm

 

 

I. Legal Malpractice Insurance Labor Lawyers – How We Help Your Firm

We’re legal malpractice insurance brokers and subject matter experts, whose mission is to obtain the best terms that are available in the market for every law firm.

We accomplish this by scouring the market on firms’ behalf, leveraging our access to AIG, CNA, Travelers, and other “A”-rated legal malpractice insurers.

Here are two examples:
I. In August, 2017, a 2-attorney firm that was paying an annual premium of $3,487 for policy limits of $250,000 per claim/$500,000 for all claims, and a deductible of $2,500 per claim, asked us to obtain competing quotes, after its malpractice insurer offered a renewal quote of $4,064.

We sent its application to 12 “A”-rated insurers; eight offered proposals. The winning insurer proposed $2,920 for the same coverage as the current policy. However, the firm instead chose the insurer’s proposal of $3,561 for the same deductible, and policy limits of $1,000,000/$1,000,000. It thus quadrupled its per claim limit for $74 more than its current premium, due to our aggressive shopping.

II. In September, 2015, a 20-attorney firm asked us to obtain competing quotes, after it received a renewal quote of $69,832 from its malpractice insurer of many years.

We sent its application to 13 “A”-rated insurers, seven of which offered a proposal. The winning insurer’s proposal was $46,084, for the same coverage, limits, and deductible as the renewal quote.

We renewed the account with the same insurer for a premium of $47,410 in 2016, and $48,814 in 2017.

Thus, the firm’s premium decreased by over 30% compared to its 2015 renewal quote, three years in a row, for identical coverage, because we aggressively shopped its application.

We’ve obtained similar results for many other firms. Can we do so for your firm? The only way to find out is if we obtain proposals for you.

The larger point is that most attorneys don’t comparison shop, and thus often buy inadequate, overpriced coverage.

Why? Because they don’t realize that legal malpractice insurance pricing is imprecise and highly variable, or that the market is intensely competitive.

The premiums that a legal malpractice insurer charges are essentially guesses, because it doesn’t know how much it will spend to defend and settle claims, which are its biggest expense.

Further, pricing varies widely among insurers, i.e., the highest competing proposal that the firm in the second example above received was $68,276, 48% more than the lowest proposal, for identical coverage.

That shows how important it is to comparison shop.

In fact, a firm that doesn’t comparison shop at least every third year usually receives inferior terms, because its insurer has no competition for its account.

If your firm does comparison shop, it will find more than 15 ‘A’- rated legal malpractice insurers ready to compete for its business, 7-10 of which will likely offer it proposals, if it’s well-managed and has a good claims history.

II. Legal Malpractice Insurance Labor Lawyers – Optimize Your Coverage 

A. “Shop ‘til you drop”: work with a broker who’ll submit your application to every “A”-rated malpractice insurer that’ll likely offer your firm coverage, based on its risk profile. Maximizing competition is the key to getting the best terms.

B. Avoid quotes, which overemphasize price, and instead request proposals from each insurer, at various limits, deductibles, and coverage options. Then compare them to your renewal terms.

III. Legal Malpractice Insurance Labor Lawyers – Learn More or Request  Proposals 

It will give the insurers enough information about your practice to provide you with “ballpark” terms, without your having to complete a full application.

We’ll send your form to all suitable insurers, and contact you as they respond. If you like any of the estimates that we obtain, then you can complete a full application and provide any other information that the insurer needs to offer you a firm, final proposal. The premium of the final proposal usually matches or is very close to the estimate.

NOTES:

        •   If you filled out a full renewal application for your current insurer (not a one
or two page form that asks if your practice has changed in the last year), then send us that, instead of filling out the premium estimate form.

       •   The premium estimate form contains a grid that requires you to allocate your   firm’s last 12 months’ billings among its practice areas.

Securities law, Tax law, and other practice areas that the insurers consider higher risk, require completion of a supplement.

Attached to the premium estimate form is a page that contains the supplemental questions for Plaintiff’s Litigation, Real Estate law, Collections, and Mergers & Acquisitions.

Download the supplement for other practice areas from our applications page, or send us the most recent supplement(s) that your firm completed for its current malpractice insurer.

        •  All proposals that we obtain for you are no-cost, no-obligation.

If you accept any of them, then the insurer that offered it will pay us a percentage of the premium as a commission.

That’s our only compensation; we don’t charge any fees.

We thus have every incentive to find you the best terms available in the market.

IV. Legal Malpractice Insurance Labor Lawyers – Attorney Feedback

“I recently worked with Curtis…I thought he did an excellent job staying in touch with me and giving me fair advice, without pressure to purchase anything in particular…he actually advised me to simply renew with my current carrier, despite the fact that it would not have led to any monetary compensation for him…” (Rating: 5 stars out of 5.)

Full review: http://www.yelp.com/biz/lawyers-insurance-group

We received this email from the owner of a law firm for whom we procured malpractice coverage after its existing coverage was non-renewed:
“From beginning to end, you have served us so well, keeping me informed every step of the way.  Thank you Curtis!  I will recommend you without hesitation to any lawyer in need of a professional insurance broker.”

V. Legal Malpractice Insurance Labor Lawyers  – FAQs

Who are the leading legal malpractice insurers?

AIG, CNA, Chubb, Hartford, Travelers, Westport, and Zurich are the best-known. Others include Aspen, Markel, and Wesco, plus specialty insurers like Admiral and Evanston, which cover firms the other insurers won’t, i.e., those that have a poor claims history, or handle patent, securities, or other ‘high-risk’ matters.

All of these insurers are A-rated, and have expert underwriters, claims staff, and mal-practice defense counsel. We have a strong relationship with each of them.

What policy limits are available?

Most of the major insurers offer limits up to $10 million per claim/$10 million annual aggregate; a few offer limits up to $15M/$15M. We can procure higher limits in the excess insurance market.

What size and types of firms do you work with?

Our roster includes everything from solos to firms with over 100 lawyers, multi-practice firms to one-practice firms in every specialty from Administrative law to Workers Comp. law, and special situations, i.e., firms that are merging with or acquiring another firm, have had their coverage non-renewed due to malpractice claims, etc.

Which firms pay the least and most?

Appellate, criminal defense, and immigration firms pay the least, followed by civil/ insurance defense firms. Class action, securities, and patent firms pay the most, fol-lowed by real estate and personal injury/medical malpractice firms. Firms in other practice areas firms pay somewhere in between these extremes.

However, every insurer has its own rating formula for each practice area, and most firms experience a wide variance in pricing from insurer to insurer, and thus benefit greatly from shopping for competing quotes.

How often should my firm shop for competing quotes?

Every third year.

You don’t need to shop more often, unless your practice changes dramatically or your insurer’s renewal quote is unfairly high, because market conditions don’t change that much from year-to-year. Too, frequent shopping encourages frequent switching of in-surers, which will work against your firm in the long run, because many insurers will assume that you’re a “bargain hunter” who’ll leave after a year or two to save a few dollars, and thus won’t offer you their best quote.

Conversely, shopping infrequently, i.e., every four or more years, all but guarantees that your firm is getting a bad deal, because your insurer has no competition for your ac-count.

We’ve been with our current insurer for a long time. Why consider switching?

Because the legal malpractice insurance market is much more competitive today than it was 5 – 10 years ago, when insurers like AIG, CNA, Westport, ALPS, and Minnesota Lawyers Mutual were dominant.

Since then, aggressive, well-capitalized insurers like Aspen, AXIS, XL Catlin, Markel and Wesco have either entered the market or expanded their offerings. As a result, many more malpractice insurers now offer law firms broad coverage and competitive pricing.

Savvy firms are capitalizing on this by exploring the market, and they’re being rewarded.

We know this, because nearly every time a firm engages us, we “beat the pants off” of its current terms. This happens whether the firm bought its coverage through a local agent, a national broker, the agent for a malpractice insurance program, or directly from a mal-practice insurer – even the one endorsed by its state bar association (which is often the least competitive, because the insurer knows that many lawyers will follow the bar’s rec-ommendation without shopping around).

Why should my firm optimize its malpractice insurance?

Because if it doesn’t, then it’s either overpaying or underinsured: if your firm has ade-quate coverage and limits, but overpays for them, then it’s wasting money – every year. Conversely, if your firm’s premium seems reasonable, but it could obtain broader cover-age and higher limits for the same or less cost from another major insurer – which it likely can, if it’s a good risk and shops around – then staying with your current insurer is a poor risk management decision.

Besides being competitive, the legal malpractice insurance market is also stagnant, so insurers battle for every account. That’s why 7 – 10 insurers will usually offer a quote to a firm, if it hasn’t had any recent claims, avoids ‘high-risk’ matters, and has good con-flicts and docketing systems.

However, to benefit from this, you need to engage with a broker who’ll work hard for your firm, i.e., ensure that its application discloses all required information, while presenting the practice in the best light; identify all viable insurers for your firm based on its size, practice areas, etc., and aggressively market to and negotiate with them on your firm’s behalf. That’s where we come in.

VI. Legal Malpractice Insurance Labor Lawyers – Who We Serve

We optimize legal malpractice insurance for:

  • New law firms, including solo practices
  • Established firms of all sizes and in all practice areas, including high-risk practice areas like Securities, Sports/Entertainment, Real Estate, IP, and Personal Injury/ Medical Malpractice/Class Actions.
  • Special situations: law firms that have had their legal malpractice insurance can-celled or non-renewed; are merging or disbanding; are in or emerging from bankruptcy; etc.
  • Independent Contractors

VII. Legal Malpractice Insurance Labor Lawyers – Further Reading

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