Law Firm & Legal Malpractice Insurance
for Solo Practitioners

Solo attorneys may want to consider legal malpractice insurance, cyber liability insurance, a business owner’s policy (BOP) or commercial general liability insurance (CGL) depending on how their practice operates. The right mix can depend on practice area, employees, client data, office setup, contract requirements, and state regulations.

Many solo attorneys choose legal malpractice insurance because a malpractice claim can be costly to defend, even when the attorney believes they did nothing wrong. Some clients, contracts, courts, or jurisdictions may also require proof of coverage. Whether coverage is required or appropriate depends on the attorney’s practice area, jurisdiction, client expectations, and risk tolerance.

A solo attorney’s personal assets may be at risk depending on the type of claim, business structure, state law, available insurance, and how the firm is operated. Forming an entity may offer some protection in certain situations, but it may not protect against all professional liability claims or personal obligations. Solo attorneys should discuss asset protection, entity structure, and insurance with qualified legal, tax, and insurance professionals.

Solo attorneys can reduce malpractice risk by using independent redundant calendaring systems and written engagement letters, prioritizing clear client communication and consistent billing procedures, thoroughly documenting all files, prioritizing cybersecurity best practices, and committing to maintaining wellness. ALPS provides risk management resources, blog content, CLE opportunities, and tools designed to help attorneys identify and reduce practice risks.

Homeowners insurance typically is not designed to fully cover a law practice operated from home. It may have limits or exclusions for business property, client visits, professional services, data loss, business liability, or employee-related risks. A solo attorney working from home should review their homeowners policy and consider whether business insurance, lawyers’ professional liability, cyber coverage, or other policies are needed.

Monthly payment options may be available for some insurance products, depending on the policy, state, carrier, premium amount, financing terms, and underwriting requirements. Solo attorneys who prefer to manage cash flow monthly should ask whether installment billing, premium financing, or other payment options are available for the coverage they are considering.