Most lawyers’ professional liability policies cover the attorney for financial loss suffered by third parties arising from wrongful acts, errors and omissions in providing legal services. Claims such as negligence, misrepresentation, violation of good faith and fair dealing, as well as inaccurate advice are typically covered in LPL policies. Remember to visit the legal services definition in your policy, as every policy has a different definition of what’s covered. This insurance also usually provides coverage for ancillary services regularly provided attorneys as a natural offshoot of their regular practice, such as:
- Services as a notary public
- Services as a title agent and or title agency
- Acting as a trustee or executor of an estate in connection with representation of a client
- Acting as an officer, director, or member of a legal professional association
- Mediating legal disputes
Pay particularly close attention to what is NOT covered or excluded in a lawyers’ professional liability policy. Fraudulent, criminal, malicious and dishonest acts are excluded from the policy. In addition, bodily injury and property damage are not covered. Make sure you pay close attention to those exclusions in the policy.