How does opening a branch office affect my law firm's insurance?

Expanding your firm to a new office location triggers several insurance considerations. Your malpractice carrier should be notified promptly, as most policies require you to disclose all firm locations and may need to adjust your premium to reflect the expanded practice. If the new office is in a different state, your carrier will evaluate whether the policy extends to that jurisdiction and may apply different rating factors based on the legal environment in that state.

Your business owners policy or commercial property coverage must be updated to include the new location. This means adding the physical address, declaring the value of furniture, equipment, and improvements at the new office, and ensuring that business personal property and business income coverage extends to the branch. If you lease the space, your landlord will likely require you to name them as an additional insured on your general liability policy and provide a certificate of insurance.

General liability coverage should be reviewed to confirm it covers premises liability at the new location. If the branch office is in a different state, workers compensation requirements may differ, and you may need a separate policy or an endorsement extending coverage to employees in that state. Employment practices liability coverage should also be reviewed, as multi-state operations can increase exposure to varying employment law requirements.

Cyber liability coverage typically follows the firm rather than specific locations, but adding staff at a new office increases your overall cyber risk profile. Notify your cyber carrier of the expansion and confirm that all employees at the new location are covered under your existing policy. Review your cyber security protocols to ensure the branch office meets the same standards as your primary location.