Berkley Attorney Malpractice Insurance – Disciplinary Coverage
More than a few attorneys forget to take advantage of Disciplinary Coverage until it is too late. Attorney Malpractice Insurance policies that offer this coverage can be ‘Duty to Defend’ or ‘Reimbursement’. Even though the Berkley policy’s malpractice coverage is ‘Duty to Defend’, the disciplinary coverage is ‘Reimbursement’. Insurer’s wording for disciplinary coverage and reporting differs by carrier. The disciplinary reimbursement is not subject to the policy deductible.
From Declarations Page
Supplemental Coverage Limit – $100,000
I. Insuring Agreement
E. Aggregate Limit for Supplemental Coverages
For the Supplemental Coverages described in this section II. E., the Insurer shall reimburse the Insureds, up to the aggregate limit stated in Item 4. of the Declarations. The Limit for Supplemental Coverages shall be in addition to the Limits stated in Item 3. of the Declarations. No Deductible shall apply to any of the Supplemental Coverages listed in this section II. E.
In no event shall the amount payable for the Supplemental Coverages per Policy Period exceed the aggregate limit stated in Item 4. of the Declarations for the Supplemental
2. Disciplinary Proceedings
The Insurer will reimburse the Named Insured for attorney fees and other reasonable costs, expenses or fees (the “Disciplinary Fees”) paid to third parties (other than an Insured) resulting from any one Disciplinary Proceeding incurred as the result of a notice of such Disciplinary Proceeding both first received by the Insured and reported in writing to the Insurer either during the Policy Period or within 60 days after termination of the Policy Period, arising out of an act or omission in the rendering of Legal Services by such Insured committed prior to the expiration of the Policy Period.
III. Definitions
E. Disciplinary Proceeding means any pending disciplinary matter including an initial inquiry, before a state or federal licensing board or a peer review committee to investigate charges alleging a violation of any rule of professional conduct in the performance of Legal Services.
H. Legal Services means:
-
- those services, including pro bono services, performed by an Insured for others as a lawyer, arbitrator, mediator, title agent or other neutral fact finder or as a notary Any title agency or insurer, on whose behalf the Insured acts as title agent or designated issuing attorney, is not an Insured under this Policy unless such title agency is a wholly owned subsidiary of the Named Insured;
- those services performed by an Insured as an administrator, conservator, receiver, executor, guardian, trustee or in any other fiduciary capacity;
- those services performed by an Insured in their capacity as a member of a bar association, ethics, peer review, formal accreditation, licensing, or similar professional board or committee related to the legal profession, or
- those services performed by an Insured as an author, strictly in the publication or presentation of research papers or similar materials and only if the fees, royalties or other revenue generated from such work are not greater than $10,000.
For the purpose of this definition, services performed by an Insured in a lawyer-client relationship on behalf of one or more clients shall be deemed Legal Services in the Insured’s capacity as a lawyer, although such services could be performed wholly or in part by non-lawyers.
Not taking advantage of this policy coverage does not make sense. Firms have a fear that reporting disciplinary complaints can impact their attorney malpractice insurance premiums. While too many disciplinary reported complaints that do not result in an issue can cause problems. Not reporting issues that may lead to a proceeding may impact your malpractice insurance should the same issue turn into a malpractice claim at a later date. The other issue is that once a year you may need to attest on the renewal application that there are no disciplinary issues.
Click the blog tag Disciplinary Coverage by Insurer to see coverage differences
Click Here For an Lawyer Malpractice Insurance Quote
Contact Me Today
Lee Norcross, MBA, CPCU
California License # 0D87292
L Squared Insurance Agency, LLC ® DBA in California as L2 L Squared Insurance Agency, License # 0L93416
Managing Director, CEO
Lee@L2Ins.com
616-726-7080
