MRSI adds LPL offering to growing suite

Munich Re Specialty Insurance (MRSI) has launched a lawyers professional liability (LPL) product aimed at mid-size law firms as the carrier continues to add offerings to its expansive US platform.

The LPL policy provides up to $5mn in primary or excess liability coverage for errors or omissions that cause financial harm to another person or entity, including misrepresentation, violation of good faith and fair dealing, as well as inaccurate advice.

It pays out for damages for covered claims as well as the cost to defend against such claims and according to the insurer has a broad definition of insured and of professional services.

It also provides innocent insured coverage for intentional acts, personal injury coverage and non-practicing extended reporting period.

Claims are managed by a dedicated team well-versed in the complexities and nuances associated with such lawsuits, said MRSI in a statement.

MRSI’s head of professional liability underwriting Marcia Blanco said the LPL coverage provides a tailored policy to meet the needs of law firms that has the flexibility to reflect current market trends and is supported by expert claims service.

“Many firms may self-insure against a professional malpractice lawsuit, but the rising costs of defending such claims and the increasingly litigious nature of clients, means that this practice could be financially devastating to a mid-size firm,” said the executive.

“Multimillion-dollar lawsuits are not uncommon and defense costs continue to rise making this a potentially costly lawsuit for any size law firm to defend against,” she added.

The LPL launch comes after MRSI unveiled a miscellaneous professional liability offering for non-specialist, commercial business in the summer.

Other recent entries by the carrier include the senior living healthcare liability segment, adding to last year’s move into the E&S property, primary casualty and excess casualty segments last year.

MRSI was set up at the end of 2018, and is led by former Zurich Insurance Company general insurance CEO Mike Kerner.

It brings together the company’s existing North American commercial insurance business that already generated around $1.3bn of GWP, including business written by its programs, binders and public entities business.