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 > Why does my Malpractice carrier need a new application every year?
FRIDAY, MAY 13, 2016

Why does my Malpractice carrier need a new application every year?

Gibraltar Monkey Behind FenceEvery year, year after year you are required to fill out a new application.  It is enough to make you scream.  Accountants and Attorney Malpractice Insurance carriers generally want an updated application every year.  Business Owners, Workers Compensation and Commercial Auto insurance carriers generally renew each year without an application.  Why the difference between my Malpractice and general business insurance carriers?

The exposures for Business Owners, Workers Compensation & Commercial Auto do not change much from year to year.  Exception to this is Workers Compensation, but an audit is performed annually to address any payroll changes, not an application.  Unless a business buys or sells its buildings, cars or business personal property the exposures remain the same from year to year.

Malpractice Insurance exposures can change dramatically from year to year.  If an accounting firm or law firm accepts a new client, that client may have needs in areas that the firm did not do work in the past.  The firm may also have grievances or claims that may not have been reported to the company prior to the renewal application date.  The underwriter may want an explanation as to what had caused the claim and what steps are being taken to prevent a future occurrence.

Accountants & attorneys may come and go with the firms.  New professionals coming to the firm may bring different expertise.  This may cause a firm to pursue clients and areas of practice that they had worked in.  New professionals may also have had claims or grievances at prior firms that again may impact the desirability of the firm.

The changes in a firm’s makeup are addressed on the annual renewal application.  The changes in the firm’s makeup can cause the premium to change or change the desirability of the firm to the insurance carrier.  With the renewal application the malpractice underwriter can assess if the firm still meets the criteria for the carrier and what the renewal premium should be.   It also gives the firm a formal structured method to document changes to the firm. 

Posted 4:23 PM

Tags: malpractice insurance, legal malpractice insurance, attorney malpractice insurance, accountant errors & omissions coverage, professional liability insurance, e&o insurance
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(383)
  • attorney malpractice(337)
  • legal malpractice(223)
  • legal liability(134)
  • cyber insurance(102)
  • data breach(92)
  • ethics(87)
  • erp(57)
  • malpractice insurance(54)
  • claims(39)
  • title agency e&o(36)
  • accountant e&o(34)
  • extended reporting period endorsement(30)
  • tail(29)
  • phishing(25)
  • legal malpractice insurance(21)
  • claims made coverage(21)
  • extended reporting period(21)
  • prior acts(21)
  • cyber security(19)
  • cyber liability(18)
  • accountant errors & omissions(18)
  • claims reporting(17)
  • crime insurance(16)
  • ransomware(16)
  • claim prevention(16)
  • attorney protective cle(14)
  • the hartford weekly newsletter(14)
  • attorney protective cle webinar(14)
  • 2022 mcgowan pro cpe webinar for accountants(13)
  • mcgowan webinar series for cpas 2021(12)
  • professional liability insurance(12)
  • retirement tail(12)
  • business owners insurance(11)
  • legal liability insurance(11)
  • fee suits(10)
  • full prior acts(10)
  • attpro tip of the month(10)
  • accountant errors & omissions insurance(10)
  • non-practicing erp(9)
  • bop(9)
  • cyber liability insurance(9)
  • title agent errors & omissions(9)
  • cyber crime(9)
  • claims made(9)
  • prior acts date(8)
  • webinar(8)
  • step rating(8)
  • lawyers(8)

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