People run to CPAs and financial consulting firms to solve money-problems. Legal problems, on the other hand, rests on the shoulders of lawyers and law firms.
Lawyers and law firms help people solve immigration issues. Some provide private investigation services. Lawyers and law firms can also help with regarding real estate investment disputes.
As a law firm business, you know how expensive legal cases and court costs can be. This is why you should not cut corners on your law firm insurance. This article will examine several coverages of law firm insurance. It will also review the top companies.
| CoverWallet | NEXT (Best) | Thimble | Hiscox | The Hartford | |
|---|---|---|---|---|---|
| Per occurrence limit | $1,000,000 | $500,000/$1,000,000 | $1,000,000/$2,000,000 | $300,000/$2,000,000 | $1,000,000 |
| Aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $300,000/$2,000,000 | $2,000,000 |
| Products and completed operations aggregate limit | $2,000,000 | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 |
| Advertising injury coverage aggregate limit | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 |
| Tenant’s legal liability coverage limit | $100,000 | $100,000 | $5,000 | $100,000 | $100,000 |
| Waiver of subrogation included? | Yes | No | Included | Can be included | No |
| Hired/non-owned auto liability coverage included? | Yes | No | Excluded | Can be included | No |
| Equipment breakdown floater included? | No | Yes | Yes | Can be included | Yes |
| Can you get a certificate of insurance online? | Yes | Yes | Yes | Yes | Yes |
| Name additional insureds? | Yes | Yes | Yes | Yes | Yes |
| Deductible | $0 | $0 | $0 | $0 | $0 |
General liability insurance for law firms will cover your third-party liabilities like bodily injury, property damage, and personal injury claims.
Your law firm liability insurance typically has a coverage limit of $1 million per occurrence and $2 million in aggregate.
Excess liability–Extends the coverage of your law firm's general liability policy when the coverage limit runs out
Tools and equipment insurance–Protects your law firm's equipment that you use to research cases and help clients
| CoverWallet | NEXT | Thimble (Best) | Hiscox | The Hartford | |
|---|---|---|---|---|---|
| Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 | $1,000,000 | $1,000,000 |
| Aggregate limit | $2,000,000 | $2,000,000 | $1,000,000/$2,000,000 | $2,000,000 | $2,000,000 |
| Name additional insureds? | Yes | Yes | Yes | Yes | Yes |
| Waiver of subrogation included? | Yes | No | Yes | Yes | No |
| License defense coverage included? | No | No | No | No | Can be included |
Lawyers professional liability insurance protects your law firm and lawyers from mistakes and oversights they make in their practice. Another name for law firm professional liability insurance is law firm malpractice insurance. This policy can go by other names like professional indemnity and e&o insurance.
Your law firm professional indemnity insurance can cover situations similar to the following:
You fail to render promised legal services to a client who sues your law firm
One of the lawyers at your firm missed a court deadline that caused a client undue distress in their case
A client accused your law firm of giving a poor performance in court
Your lawyers professional liability insurance coverage will often start around $1 million per occurrence but can be higher depending on how much coverage your law firm needs.
Your attorney errors and omissions insurance can be customized further by add-ons or endorsements. Examples include:
Extended reporting–Law office malpractice insurance with extended reporting coverage lets you cover previous incidents that may have happened before your policy became active
Additional insured–Malpractice insurance for contract attorneys has an additional insured add-on. This add-on lets you cover other parties not named on your policy
The best attorney malpractice insurance will offer adequate coverage without an excess cost. You will want to pick a policy that offers excellent value for what you pay. Your professional liability policy is also good if you’re paying cheap premiums but enjoy low deductibles.
Professional liability insurance for law firms offers advantages like protecting your brand identity, coverage tailored to your firm's unique risks, and specialized protections for solo attorneys. You will also want to look into the insurer you are buying from. Sources like AM Best, Fitch, and the Better Business Bureau can give you a snapshot of the financial reliability of an insurer and how well they handle claims.
D&O insurance for law firms protects directors and officers from claims that may result from the actions of their duties. It can protect your law firm against shareholders or third parties that allege your law firm directors of embezzlement, negligent hiring, fraud, and other related offenses.
Directors and officers liability insurance offers a $1 million-$10 million per occurrence and aggregate limit. Higher coverage amounts are available, depending on your choice of insurance company.
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| CoverWallet | NEXT (Best) | Thimble | Hiscox | The Hartford | |
|---|---|---|---|---|---|
| Building coverage limit (minimum) | $50,000 | $25,000 | $25,000/$500,000 | $25,000 | $60,000 |
| Contents coverage limit (minimum) | $50,000 | $25,000 | $25,000/$500,000 | $15,000 | $60,000 |
| Outdoor signs | Excluded | $2,500 | Excluded | Included | Excluded |
| Accounts receivable | Excluded | Excluded | $5,000/$10,000 | Included | Excluded |
| Money and securities | Excluded | $2,500 | $1,000 | Included | Excluded |
| Lock and keys | Excluded | $2,500 | Excluded | Included | Excluded |
| Business interruption floater | Excluded | Included | Included | Included | Excluded |
| Equipment breakdown floater | Excluded | Included | Excluded | Included | Excluded |
| Inland marine insurance floater | Excluded | Excluded | $10,000 | Excluded | Excluded |
| Employee dishonesty floater | Excluded | $5,000 | $2,500 | Excluded | Excluded |
Law office insurance must have a policy to protect your business property from damage. Commercial property insurance is a good fit for this need. It covers the business building you and your lawyers work in and any personal business property when it gets damaged or stolen.
This type of law firm insurance coverage will offer your office $25,000-$60,000 for building repair or reconstruction costs.
Business interruption–This policy will help you supplement lost business income from incidents where property damage affects your business operations
Outdoor property–Protects property outside your business premises, like outdoor signs you use to advertise your business
Commercial property will exclude damage caused by earthquakes, terrorism, and floods.
| CoverWallet | NEXT (Best) | Hiscox | Thimble | The Hartford | |
|---|---|---|---|---|---|
| General liability aggregate limit | $2,000,000 | $500,000/$2,000,000 | $300,000/$2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 |
| Commercial property coverage limit | $50,000 | $25,000 | $25,000 | $25,000/$500,000 | $75,000 |
| Optional policies can be added? | Yes | Yes | Yes | Yes | Yes |
| Name additional insureds for free? | Yes | Yes | Yes | Yes | Yes |
| BOP discount? | Yes | Yes | Yes | Yes | Yes |
You can purchase a business owner’s policy. This business insurance for lawyers combines the insurance coverage of general liability insurance and commercial property insurance. It also often includes business interruption insurance and allows you to customize it further with other policies.
This type of lawyer insurance coverage will offer $1 million or more for general liability insurance and between $20,000 and $50,000 for commercial property insurance.
Hired and non-owned auto–Protects vehicles your law firm doesn’t own, like employee vehicles and leased vehicles, from costs that occur due to accidents
Cyber liability–This policy will protect your law firm from costs associated with cyber-attacks and data breaches, including lawsuits
Although a business owner's policy allows you to combine several types of insurance coverage, it typically excludes employee injuries. You must purchase a workers' compensation policy to protect your workers from injuries and illness.
| NEXT (Best) | Thimble | Hiscox | The Hartford | |
|---|---|---|---|---|
| Aggregate limit | $3,000/$10,000 | $2,500/$5,000 | $15,000/$25,000 | $5,000-$10,000 |
| Covers hired and borrowed equipment? | $3,000/$10,000 | $2,500/$5,000 | No | Yes |
| Miscellaneous equipment also covered? | $5,000/$10,000 | No | Yes | Yes |
| Offered as an endorsement to general liability insurance? | Yes | Yes | Yes | Yes |
| Deductible | $500 | $500 | $0 | $0 |
Tools and equipment insurance protects any tools you use in your law practice, even when you bring them to other locations besides your law office. Your equipment gains protection from theft and damage, so you can get it replaced or repaired easier.
Tools and equipment insurance typically covers business equipment with between $5,000 and $20,000 in coverage.
Business interruption–Helps your business recover after your tools and equipment get damaged by supplementing lost income and helping you meet any loan obligations
Equipment breakdown–Protects your tools and equipment when subject to internal damage like mechanical breakdowns and electronic power surges
Lawyers auto insurance will cover vehicles that you use in your practice. Commercial auto insurance protects your business vehicle's damage in business-related activities. You also get protection for liabilities and legal costs that result from activities your business vehicles are a part of. Commercial auto insurance has default coverages which usually include:
Auto-liability–Covers the cost of accidents your law firm’s commercial vehicle caused
Comprehensive–Offers payouts for physical damage to your vehicle that result from sources other than road collisions
Collision–Covers your work vehicles when they get into collision accidents on the roadways with other vehicles
Your commercial auto insurance policy will have a coverage limit between $100,000 and $1 million for liability claims.
Medical payments–This policy will protect passengers and drivers in your vehicles by helping pay for medical payments resulting from accidents
Roadside assistance–Pays for the costs associated with vehicle breakdowns, like towing expenses
No. Insurers will often exclude motorcycle coverage for commercial auto policies since they are riskier than other vehicles. According to the National Highway Traffic Safety Administration, motorcyclists are 24 times more likely to die in a vehicle crash and four times more likely to be injured.
Workers' compensation insurance protects your law firm employees when they sustain injuries or develop an illness while on the job. This policy will pay benefits to employees to compensate them for lost income from injuries and medical costs they must endure.
Yes, workers' compensation covers employee deaths as well as employee injuries. Workers comp will pay death benefits to beneficiaries of the employee who died from a work-related incident. The policy will also help pay funeral expenses.
Yes. If an employee is injured and cannot perform any work but is caught working, your employee can face serious consequences. This would qualify as workers' compensation fraud, and you may be ordered to pay back all the benefits you have collected and serve time in jail.
Cyber liability insurance for lawyers protects your law firm from the consequences of a data breach or cyber attack. These attacks can compromise client data, requiring you to spend money to defend yourself from possible lawsuits and repair your law firm's reputation.
Cyber liability insurance for law firms will often have a coverage limit of $1 million per occurrence and $1 million in aggregate. Higher coverage may be available depending on your law firm's size.
Cyber security insurance for law firms will typically cover several classes of data. Typically, these policies will cover personally identifiable information, including phone and social security numbers. Other information that can be compromised is payment card information, research information, and data storage.
| Cost per Month | Cost per Year | Deductible | |
|---|---|---|---|
| General liability insurance | $45 | $540 | $0-$500 |
| Professional liability insurance | $70 | $840 | $1,000-$2,000 |
| Cyber liability insurance | $76 | $912 | $1,000-$2,000 |
| Commercial property insurance | $60 | $720 | $1,000-$2,000 |
| Business owner's policy | $100 | $1,200 | $1,500 |
| Tools and equipment insurance | $50 | $600 | $500-$1,000 |
| Commercial auto insurance | $53 | $636 | $500-$1,000 |
| Workers compensation insurance | $84 | $1,008 | $2,500-$5,000 |
General liability insurance is $45 per month or $540 per year for a $1 million general liability policy. On the other hand, the average professional liability insurance cost for attorneys at law firms is $70 per month or $840 per year. Factors that affect premiums are claims history, business history, policy limits, deductibles, number of employees, annual revenues, and location. Here's a table showing the cost of a $1 million general liability insurance from the best companies:
| Cost per Month | Cost per Year | Best for | |
|---|---|---|---|
| NEXT | $26 | $312 | Best overall; Fastest general liability insurance for lawyers or law firms |
| CoverWallet | $30 | $360 | Comparing law firm and lawyer insurance quotes online |
| The Hartford | $27 | $324 | Workers compensation insurance for law firms |
| Tivly | $34 | $408 | Comparing lawyer and law firm insurance quotes over the phone |
| Thimble | $36 | $432 | Flexible law firm coverage periods |
| Hiscox | $40 | $480 | Business insurance with worldwide coverage for lawyers and law firms |
Solo attorney malpractice insurance cost is $500 in annual premiums for an attorney with no prior acts. However, for an adequate policy with reasonable coverage limits, solo attorney malpractice insurance typically ranges between $2,500 and $3,500 in annual premiums.
Get all the best quotes from leading providers in a click of a button!
Consider working with these companies. Read some of the reviews below to know their pros, cons, and average rate for a $1 million general liability policy.
Best overall
Issues an online proof of insurance instantly
Fastest general liability insurance for lawyers and law firms
Great customer service and reputation
Excellent rates
Outstanding value for money
Get a 10% discount if you buy two or more policies
Couldn’t find any
NEXT is a highly-rated insurer that offers customized policies that you need. The company has an A- rating with AM Best which speaks to their reliable company financials. NEXT also has a B+ rating from the Better Business Bureau for its ability to resolve customer complaints. You will find a dedicated page to legal services insurance with many of the policies your law firm might need.
Best for: Best overall; Fastest general liability insurance for lawyers or law firms
Average cost: $26 per month
Our rating: 10/10
Has local agents in the US
Customers report claim tracking experience is superb
File your policy completely online
Limited add-ons to general liability insurance
The Hartford has customized policies for lawyers and legal firms that help defend you in court for a change. This company has underwriting experience stretching over 200 years and offers excellent negligence protection with professional liability insurance. The Hartford scored an A- from AM Best and an A+ from the Better Business Bureau.
Best for: Workers compensation insurance for law firms
Average cost: $27 per month
Our rating: 10/10
Offers commercial packages to customers
Compare quotes online
Shop policies from big names like Hiscox, Markel, and Progressive
The digital dashboard handles all your policy information from one easy menu
Relies on its partners for insurance policies
CoverWallet offers a digital insurance platform to compare different insurance policies on. You can select from excellent policy options like business owner’s policy, general liability, and workers' compensation. Their attorney professional liability insurance has a dedicated section that helps you understand what you are paying for. Coverwallet offers a way to speak with consultants to help you narrow down your options.
Best for: Comparing law firm and lawyer insurance quotes online
Average cost: $30 per month
Our rating: 10/10
Tivly helps you find quotes from multiple insurers
Over 200 insurance partners to choose from
Quick to connect you to insurers
You can’t reach customer service by calling
Tivly has over 200 insurers on its insurance platform to choose from. Don’t fret; Tivly also offers a service to help match you with the right policies and insurers based on your needs. Tivly has options like general liability, cyber liability, commercial property, and more from their insurance partners. The company has over 20 years of insurance experience. Call now to compare quotes over the phone.
Best for: Comparing lawyer and law firm insurance quotes over the phone
Average cost: $34 per month
Our rating: 10/10
Scale your insurance policies with your growing business
Setup short-term law insurance policies quickly
Customers highly rate Thimble’s convenient insurance app
You can’t reach customer service by calling
Thimble offers an excellent selection of policies for your law firm, like general liability, business equipment protection, cyber liability, commercial property, and business owner’s policy. The policies they offer are also scalable with your business as it grows. Thimble has a Better Business Bureau score of A+.
Best for: Flexible law firm coverage periods
Average cost: $36 per month
Our rating: 10/10
14-day money-back guarantee
Numerous add-ons to base policies
Worldwide coverage as long as the claim is filed in the US or Canada
Doesn’t offer coverage in Alaska
Hiscox is a trusted insurer that specializes in tailoring policies for smaller businesses. They have dedicated agents with a unique understanding of how to figure out the best insurance plan that matches your business requirements. Hiscox offers policies like cyber insurance, workers' compensation, business owner's policy, and more that can protect your law firm. Hiscox has an A rating from AM Best.
Best for: Business insurance with worldwide coverage for lawyers and law firms
Average cost: $40 per month
Our rating: 10/10
1 / 5
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
1 / 5
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
1 / 5
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
5 / 5
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
5 / 5
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!
Not all those who wander are lost.
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