Criminal Acts Coverage under an Attorney Malpractice Insurance Policy?

The assumption that your attorney malpractice policy will not answer in case of a criminal complaint may be invalid. 

Surprisingly in the current Wesco attorney malpractice policy defense coverage is found in the ‘exclusion section IV’ for the allegations:

A.      “to any claim based on or arising out of any dishonest, fraudulent, criminal or malicious act or omission by an Insured, however, the Company shall provide the Insured with a defense of any claim based on or arising out of any dishonest, fraudulent or malicious act or omission by an Insured until the dishonest, fraudulent or malicious act or omission has been determined by adjudication, including regulatory ruling against or admission by such Insured; but providing such a defense will not waive any of the Company’s rights under this Policy; “

This is just one example where assuming what is or is not in an attorney malpractice policy can cost you money. 

Another common misconception in an attorney malpractice insurance policy is that there is no coverage for bar complaints.  While it is true that the most attorney malpractice policies will not provide an indemnity payment for a bar complaint, many do provide defense coverage up to a certain limit with no deductible.

Anytime that you have an attorney malpractice matter or potential claim a through reading of your policy is the 1^st place to start.  Do forget that an experience malpractice insurance agent can help guide you in making sure that the matter is reported promptly to the insurer.  

If in doubt report.

    Managing Director, CEO
   

     (616) 940-1101 Ext. 7080