Probation After a Legal Malpractice Claim
After a claim, you can expect your premium to go up and carriers will not be as willing to offer higher limits or favorable terms such as first-dollar defense or claims expense outside the limits. When a claim is filed, under a claims made policy, there is a 5-year probationary phase from the date the claim closes. If there are no claims for the next five years, the premium would return to a more preferred rate.
Read More from Lawyers Choice:
- Malpractice Insurance Basics Episode #5: Loss Runs and Their Impact on Your Firm
- Malpractice Insurance Basics Webinar Episode #4: Common Supplementary Payments within your Lawyers Professional Liability (LPL) Policy.
- Malpractice Insurance Basics Webinar Episode #3: Extended Reporting Period (ERP) A.K.A. Tail Policy
- Malpractice Insurance Basics Webinar Episode#2: How Application Answers Impacts Premium and Coverage
- Malpractice Insurance Basics Webinar Episode#1: An Introduction to LPL Policy Terms
Add Comment