ISBA Mutual Policy Expansions Improve Support for Practice Closings
Law firms close for any number of reasons, not just when a lawyer reaches a certain age and decides to retire. Firms may merge, lawyers can go in-house on the corporate side and close their practice, and death or disability can shut a firm’s door unexpectedly, as well.
If your practice closes, especially unexpectedly, have you thought about how your clients will be taken care of if you are no longer available? More importantly, have you thought about what happens with malpractice claims that may be made against you after your firm has closed?
Expanded Extended Reporting Period options relieve these protection worries
One way we at ISBA Mutual can help mitigate this issue is making sure you’re properly covered. To that end, we have provided expanded coverage that provides for a free and unlimited extended reporting period (known as a tail) in the event of death, disability or retirement that will cover claims arising from professional services rendered before your practice has closed.
The expanded Extended Reporting Period options are among a group of policy enhancements we have put in place effective this year. This is a direct response to feedback that we’ve received from policyholders and lawyers like you.
Other features of the 2018 ISBA Mutual Insurance policy include:
- Unlimited Extended Reporting Period available to multi-lawyer firms;
- A free, 24-month extended reporting period for practicing lawyers who are called to active military duty;
- $0 deductible option;
- A “defense outside the limit” option, so that malpractice defense costs will not erode your policy limit of liability;
- Claims will not be settled without your consent;
- The first $5,000 of defense costs related to malpractice claims are paid by ISBA Mutual before your deductible is applied;
- ARDC disciplinary defense coverage is provided by ISBA Mutual and is paid on your behalf. This coverage is in addition to the policy limits of liability.
It’s important to monitor and respond to the changes in the legal environment that affect the risks faced by Illinois lawyers. Our aim is to help you stay on top of these risks, and ensure our policy coverage protects your clients, you and the legal profession.
Jeff Strand, president & CEO of ISBA Mutual Insurance Company. For more information on succession planning and other topics related to protecting your clients and your practice, call 312-379-2000.