Disciplinary Proceedings Coverage
Key Takeaway
An optional coverage extension in some malpractice policies that pays for the attorney's legal defense costs when facing formal disciplinary proceedings before the state bar or supreme court disciplinary board. Coverage typically applies only to proceedings arising from the same facts that could give rise to a covered malpractice claim..
Definition
An optional coverage extension in some malpractice policies that pays for the attorney's legal defense costs when facing formal disciplinary proceedings before the state bar or supreme court disciplinary board. Coverage typically applies only to proceedings arising from the same facts that could give rise to a covered malpractice claim.
Why This Matters for Law Firms
This term defines the boundaries of what your insurance will and will not pay for. Law firms that misunderstand coverage terms risk discovering gaps in protection only after a claim has been filed, when it is too late to remedy the situation. Reviewing these terms with your broker before binding coverage is a critical risk management step.
Example Usage in Context
During a coverage review meeting, the firm administrator might note: "Our policy includes a disciplinary proceedings coverage provision -- let's make sure we understand exactly what that means for our specific practice areas before we sign off on the renewal."
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