Crime Insurance is a property coverage, not a liability coverage. Lawyers Professional Liability Insurance is intended to coverage attorney malpractice liability claims. Don’t expect that a theft of funds will trigger a malpractice claim. Many law firms that have been told they need crime insurance decided not to get it because they feel their attorney malpractice policy will cover, this may or may not be the case. It is important to have adequate coverage for employees with sticky fingers.
Here is an example of a need for adequate crime insurance coverage through a Business Owners Policy and/or a standalone crime policy:
NJ Firm Loses Bid For Quick Win Over Stolen Funds Coverage
By Shayna Posses
Law360, New York (July 15, 2016, 4:58 PM ET) -- A New Jersey federal judge rejected by a bid by the Cadre Law Firm LLC and its owner for a quick win in litigation seeking insurance coverage for client funds embezzled by a former legal assistant, rebuffing claims that a ProAssurance Casualty Co. professional liability policy clearly should apply.
U.S. District Judge Kevin McNulty denied a summary judgment motion by the firm and owner Jill Cadre in a coverage dispute over funds misappropriated from the attorney trust account, determining that neither state statutes nor the policy...
L Squared Insurance Agency can work with you to obtain adequate crime insurance coverage.