Is your Attorney Malpractice Insurer Writing in All Your States?

If your law firm has clients, attorneys, or offices in multiple states, your malpractice insurer’s geographic reach matters.

Many attorney malpractice insurers only write coverage in certain states. Some may even decline to insure a law firm because it has clients in a state they consider outside their preferred territory. In some cases, a single out-of-state client can create underwriting concerns.

To work around these restrictions, some law firms purchase multiple malpractice insurance policies for different states. While this may provide coverage, it often increases premiums and administrative complexity.

Why Insurers Restrict Certain States

Common reasons include:

• • • Limited claims and defense resources in a state.
    • Prior withdrawal from a state due to poor underwriting results.
    • Concerns about multi-state legal practice exposures.
    • Too much firm revenue generated in a non-preferred state.
    • Large percentages of work performed outside the insurer’s core territory.

The Better Solution

For many multi-state law firms, the best approach is to work with an attorney malpractice insurer that can provide coverage across all practice states under a single policy.

Benefits may include:

• • • Lower overall insurance costs.
    • Simplified administration.
    • More consistent coverage.
    • Reduced potential for coverage disputes.

L Squared is licensed in all 50 states and has access to more than 50 attorney malpractice insurers, helping multi-state law firms find comprehensive coverage solutions that support growth rather than restrict it.