Issue Number 1, 2009

On February 20, 2009, following more than 30 years of service to the attorneys of Texas, Mr. James R. Lovell of Dumas, Texas, decided it was time to step down as Chairman of the Board of Texas Lawyers’ Insurance Exchange.  Mr. Thomas L. Hanna, a long time Board Member and former Executive Director of the State Bar, was elected by the Board as the new Chairman.

Most lawyers' professional liability insurance policies are claims made and reported policies that require insureds to provide notice of a claim to the insurer "as soon as practicable."  Two recent Texas Supreme Court cases have set limits on an insurer's ability to deny coverage based on late notice under such provisions.  

When a lawyer makes a mistake or is accused of making one, the initial reactions can affect the lawyer's ability to defend or resolve the claim.  Taking the wrong actions can compound expenses and liability; taking the right actions may avoid any payment whatsoever.  This article discusses considerations in deciding how to respond to a claim when it first becomes an issue.