Recently, I was asked by a real estate lawyer preparing for an upcoming CLE presentation what lawyers can do to protect themselves from the risk of fraud and, in particular, fraudulent wiring instructions. I don’t need to tell you that lawyers are in the crosshairs of cybercriminals. And those of you who close real estate transactions or regularly hold and wire client and other third party funds are prime targets. The answer begins with strong internal policies and procedures

We have had this exact scenario come up too many times in the last few months not to address it in this column. The answer to the question is no. That is because the lawyers professional liability policy, including the AIM policy, is a claims-made and reported policy, not an occurrence policy. With an occurrence policy like auto or homeowners insurance, you do go back to the policy period in place when the incident occurred, but not so with the claims-made and reported policy

"I think I may have an issue. When do I need to report it to AIM?" We have covered this previously , but the point is very much worth reiterating. Lawyers professional liability insurance, including the AIM policy, is written on the claims-made and reported form . The claims-made and reported policy covers claims that arise and are reported during the policy period . To avoid coverage issues, you must report the claim or incident as soon as possible, i.e., when the claim

Last summer, we began a series in our ‘Ask the Underwriter’ column to help you better understand your lawyers’ professional liability (“LPL”) policy form. Our aim is to cover the basics and address some common misconceptions – giving you a better understanding of your coverage before problems arise and you need to use it. First, we covered the LPL coverage form . Next, we discussed prior acts coverage . Then, we addressed tail coverage . This month, we will address a misco

Wire fraud isn’t “if” for closings – it’s “when.” Real estate closings are a perfect storm – big dollar amounts, tight deadlines, multiple parties, and a steady stream of emails and PDFs flying back and forth. That is why wire fraud – often driven by Business Email Compromise (“BEC”) – has become an ever-present risk for Alabama and Tennessee lawyers handling funds. The FBI’s Internet Crime Complaint Center (“IC3”) reported 21,489 BEC complaints with adjusted losses over $

Back in the August edition of ‘ Ask the Underwriter ,’ we went over prior acts coverage as part of our series on lawyers malpractice insurance basics. Prior acts coverage is established when you first purchase coverage, and it remains in place so long as you continue to maintain your coverage. But if you retire or leave private practice, will those years of continuous coverage and the prior acts coverage it afforded continue to protect you? The answer is no. If you will