Call Us 866.940.1101 ☰ ˟
866.940.1101
Logo
  • Home
  • About Us
    • About Us
    • Employee Directory
    • Partners Page
    • Event Calendar
    • Refer a Friend
  • Get A Quote
  • Products
    • Lawyers Malpractice Insurance
    • Professional Liability Coverage For Attorneys
    • Accountants Professional Liability
    • Dentist Malpractice Insurance
    • Business Owners Policy
    • Cyber Liability Insurance
    • Workers Compensation Insurance
    • Title Agents E&O Insurance
    • Paralegal Malpractice Insurance
  • Testimonials
  • Common Terms
    • Common Terms
    • Frequently Asked Questions
  • Blog
  • Contact
  • Areas We Serve
    • Grand Rapids, MI
    • Detroit, MI
    • Lansing, MI
    • Kalamazoo, MI
Home > Blog > My Friend does the same thing I do, but is paying half what I pay for Attorney Malpractice Insurance
FRIDAY, MAY 4, 2018

My Friend does the same thing I do, but is paying half what I pay for Attorney Malpractice Insurance

Lee NorcrossThis often asked question only comes from the attorney that might be paying more than his friend.  I say might, because occasionally they are both paying the same premium.  But there are other cases where the premiums are dramatically different.   Because of insurance privacy laws, we cannot share insurance information to anyone about someone else’s insurance application or policy.  Nor will we without a signed release or a court order.

 

Both attorneys may be with the same insurer and we may write both accounts. But friends do not tell everything.  Also their law practices at least on paper may very different.  

 

The factors that can impact attorney malpractice insurance costs are:

 

1.       Practice area differences will impact legal malpractice premium rates, sometimes by 2 or 3 times the premium.  This is especially true if one firm has high risk areas of practice such as Medical Malpractice or Real Estate and the other attorney does not.  Even if they ‘do’ the same thing, if the areas of practice percentages are different the premiums can be very different.

2.       The prior acts dates may not be the same.  If one attorney one has had coverage for one or 2 years and the other attorney has “full prior acts”, the attorney malpractice insurance costs can differ by over 50%.

3.       The limits of liability for the malpractice policies may be different.  One attorney’s malpractice policy as claims expenses outside the limits (CEOL) and the other does not.

4.       The deductibles may be different or one has 1st dollar defense and an aggregate deductible and the other does not

5.       The hours worked for the 2 attorneys can differ.

6.       One attorney has great internal controls the other attorney’s procedures are lacking.

7.       One attorney sues clients to collect unpaid legal fees; the other attorney has never sued a client.

8.       One attorney has had claims the other attorney has never had a claim or disciplinary matter.

9.       The attorneys are with different malpractice insurers.

 

Each factor can have a dramatic impact on premium.  When you combine two or more of these factors attorney malpractice premiums can easily be 2 or more times different.  As with some cars, they may look the same from a distance, but can be very different when you look up close.

 

 

Posted 4:40 PM

Tags: legal malpractice, attorney malpractice, lawyers professional liability insurance, factors that impact premium
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2013
  • 2011

  • lawyers professional liability insurance(429)
  • attorney malpractice insurance(404)
  • attorney malpractice(337)
  • legal malpractice(225)
  • legal liability(134)
  • cyber insurance(107)
  • data breach(93)
  • ethics(87)
  • erp(58)
  • malpractice insurance(56)
  • claims(39)
  • title agency e&o(36)
  • accountant e&o(34)
  • retirement tail(34)
  • extended reporting period endorsement(30)
  • tail(29)
  • ownership-director-officer exclusions(28)
  • attorney fees punitive damages(28)
  • disciplinary coverage(28)
  • professional services defined(27)
  • phishing(25)
  • legal malpractice insurance(23)
  • prior acts(22)
  • claims made coverage(21)
  • extended reporting period(21)
  • cyber security(20)
  • nonpracticing extended reporting period(19)
  • cyber liability(18)
  • accountant errors & omissions(18)
  • claims reporting(18)
  • crime insurance(16)
  • ransomware(16)
  • claim prevention(16)
  • attpro tip of the month(15)
  • attorney protective cle(14)
  • insurance(14)
  • the hartford weekly newsletter(14)
  • attorney protective cle webinar(14)
  • 2022 mcgowan pro cpe webinar for accountants(13)
  • coverage(13)
  • professional liability insurance(13)
  • reducing attorney malpractice deductible costs(13)
  • business owners insurance(12)
  • mcgowan webinar series for cpas 2021(12)
  • crisis event coverage(12)
  • legal liability insurance(11)
  • bop(11)
  • fee suits(10)
  • full prior acts(10)
  • cyber crime(10)

View Mobile Version
Logo
Quick Links
Home Our Products Customer Service Payment Options Common Terms
About Us Refer A Friend Our Carriers Blog Contact Us
Location
2430 Camelot Ct SE
Grand Rapids, MI 49546

Local: 616.940.1101
Toll Free: 866.940.1101
Email: info@L2ins.com
Facebook Twitter Social LinkedIn
© Copyright. All rights reserved.
Powered by Insurance Website Builder