Lawyer Professional Liability
Lawyer Professional Liability (LPL) refers to an insurance policy that protects lawyers against claims of negligence, errors, or omissions made while providing legal services, covering them against lawsuits from clients alleging malpractice. Which could result in financial losses to the client due to the lawyer's mistakes, also known as legal malpractice insurance, or errors and omissions (E&O) coverage for lawyers.
Key points about Lawyer Professional Liability:
Coverage scope:
This insurance typically covers legal defense costs associated with defending against malpractice lawsuits, as well as any settlements or judgments awarded to the plaintiff if the lawyer is found liable.
Common claims:
Examples of situations that might trigger a claim include missing deadlines, incorrect legal advice, failure to properly investigate a case, or misfiling important documents.
Importance for lawyers:
Even though not mandatory in most jurisdictions, most practicing lawyers carry professional liability insurance due to the potential for significant financial consequences from a single malpractice claim.