According to statistics, every year in the United States, approximately 6% of the attorney’s will find themselves facing a situation of professional liability. In fact, in the past 20 years, liability claims for attorneys have increased consistently. This means that having attorney professional liability insurance has become an absolute necessity.
A claim involving professional liability can become very expensive, as well as time-consuming and stressful. Attorney professional liability insurance can help reduce this burden by providing an attorney protection from this type of claim. There are three different aspects of a lawsuit that professional liability insurance can help attorneys with. These include sharing the monetary risk by providing coverage for defense expenses as well as indemnity for claims filed against the attorney. The insurance company will also handle not only defending the claim, but responding to claims made against their policyholder. And lastly, the insurance provider will help protect the attorney’s existing clients from loss which can result during a claim.
Even attorneys can make mistakes and attorney professional liability insurance can help attorneys meet their professional responsibilities they have to their clients, even during a worst-case scenario.
Attorney professional liability insurance has been designed to provide protection for both attorneys and their clients if a claim of malpractice should ever occur. This coverage typically includes coverage for defense expenses as well as indemnification for the professional. However, there are other types of services which professional attorneys will receive under this type of policy.
Rather than finding themselves facing the huge costs of defense and the resulting stress of finding themselves sued for malpractice, attorney’s should consider the benefits of purchasing attorney professional liability insurance.