LEGAL MALPRACTICE INSURANCE STATE REQUIREMENTS

LEGAL MALPRACTICE INSURANCE STATE REQUIREMENTS

 

State-by-state requirement for attorneys in private practice, as of late-2019 and early 2020. A state’s requirements can change at any time. Consult the state bar association’s website for the latest info.

Required to Carry Malpractice Insurance

Idaho – limits of $100,000 per occurrence/$300,000 annual aggregate.

Oregon – limit of $300,000, which must be purchased from state’s Professional Liability Fund.

Required to Carry Malpractice Insurance – Certain Entities Only

New Jersey – firms organized as a limited liability entity, must carry policy limits of at least $100,000 per claim times the number of attorneys in the firm, and provide proof of coverage.

Rhode Island – firms organized as a corporation, LLP, or LLC. 

Texas – LLPs are required to have $100,00 per claim limit, or set aside that amount to satisfy judgements.

West Virginia – PLLCs are required to carry $1,000,000 limits. Disclosed on state bar website for each attorney.

Not Required to Carry Malpractice Insurance, But Must Disclose To Clients Whether or Not They Do

Alaska – attorneys must inform clients, if they’re uninsured, or their policy limits are less than $100,000/$300,000. 

Californiaattorneys who don’t carry coverage must disclose that to clients. 

New Hampshire – attorneys must inform clients, if they’re uninsured or their limits are less than $100,000/$300.000, and if they’re insured, but their coverage is either terminated or their policy limits drop below $100,000/$300,000.

New Mexico – attorneys must inform clients, if they’re uninsured or their limits are less than $100,000/$300.000. 

Ohio – attorneys must inform clients, if they’re uninsured or their limits are less than $100,000/$300.000. 

Pennsylvania attorneys must inform clients, if they’re uninsured or their limits are less than $100,000/$300.000. State bar website discloses whether or not an attorney is covered.

South Dakota – attorneys must inform clients on their letterhead, if they’re uninsured or their per claim limit is less than $100,000. 

Not Required to Carry Malpractice Insurance, Info. Available to Public on State Bar Website

Arizona   

Colorado

Florida 

Minnesota 

Nevada 

Washington 

Not Required to Have Coverage, But Must Certify Whether or Not They Do on Annual Bar Reg. Statement

Delaware

Florida 

Hawaii

Kansas 

Maine

Nebraska

Virginia

Not Required to Carry, But Other Condition(s) apply

Illinois: attorneys who aren’t insured, must complete a four-hour interactive, online assessment of their firm’s operations.

Not Required To Carry, Report, or Certify Whether or Not They Carry Insurance

Alabama

Alaska

Arkansas

Connecticut

DC

Georgia

Indiana

Iowa

Kentucky

Louisiana

Massachusetts

Maryland

Michigan

Missouri

Mississippi

Montana (Lawyer Referral Service attorneys agree to carry coverage)

New York

North Carolina

North Dakota

Oklahoma

South Carolina

Tennessee

Utah

Vermont

Wisconsin

Wyoming

Other

Some county courts require lawyers to have malpractice insurance, if they want to be court-appointed to handle certain matters. 

Many local bar association attorney referral services, require lawyers to have malpractice insurance. 

Some clients also require proof of malpractice insurance, such as mortgage companies that approve lawyers to handle real their estate closings.

FURTHER READING

2019 ABA Model Rule On Malpractice Insurance Disclosure

 

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