Forms of Lawyer Malpractice Insurance

Attorneys consider a few things first when facing a malpractice case. Those first factors are the type of insurance the accused law professional has and the liability coverage limits of the policy that they have. Distinct insurance kinds and liability limits warrant distinct case strategies.

If you’re thinking about filing a lawyers malpractice claim, you might find it useful to learn about lawyer malpractice insurance and the way that it could affect your case. There are many bases for actions against attorneys such as negligence or legal malpractice, breach of fiduciary duty, violations of statutes, law fraud, or breach of contract. Suits by clients and non-clients are permissible.

Lawyers Malpractice Coverage Claims

Lawyers malpractice insurance is not created equal as other insurance policies. There is no standard form and policy provisions can vary from one insurance company to another. When shopping around for coverage, one must pay attention to the many different types of provisions the insurance company offers.

Important coverages such as electronic media coverage, is for protection for communication using electronic means such as the internet, in the case that the lawyer losses important client information or even is subjected to a virus in their main database, putting client info at risk. First party cyber liability coverage can protect the client from costs when hiring a third party to handle any legal liabilty claims from any securty breach. DTPA or Deceptive Trade Practices Acts coverage is especially important for an insurance company to have.

There are many others out there that include punitive and exemplary damages coverage, innocent partner protection, and the hammer clause, which is when an insurance company wants to settle but the insured does not agree to it, then the policy will only pay whichever amount the insurance company could have settled the claim. There are many more coverage policies that one must look into. Lawyers should take care to research in depth which policy is most beneifical to them when buying lawyer malpractice insurance. They never know when a client or non-client will come back with a suit when they are not happy about a problem that might arise in the case. Lawyers want to avoid suits at all cost because they are expensive and very time consuming, and to a lawyer especially, time is money.