Recent Newsletters
Ask the Underwriter
Q. How does a firm determine if it has adequate limits of liability?
A. There is no certain method for determining adequate limits of liability.
Several considerations should be reviewed. The size of your firm, your areas of
practice, catastrophic loss potential, your personal assets, applicable statutes
of limitation, costs of defense all should be considered.
Q. As a sole practitioner, why is it necessary to designate a
back-up attorney on my application?
A. Sole practitioners must make arrangements for a back-up in
case of an extended absence from practice such as illness, disability, vacation
or death. It is essential that the back-up be an attorney. Often the back-up
will be someone with whom the applicant shares office space or a friend
practicing in another office.
Q. If an insured reports a claim under a current policy, why is it
necessary to exclude the claim on a replacement policy issued when the current
policy expires?
A. A claim is covered by the policy under which it is reported. It is,
therefore, excluded from coverage under a replacement policy because the policy
under which it is reported continues to provide coverage for it. A claim is
identified with the policy under which it is reported including its limits,
deductible and other terms that are in effect at the time of report.
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