The VBA Journal is the official publication of The Virginia Bar Association.
Issue link: http://vba.epubxp.com/i/436865
WINTER 2014 - 2015 • 35 Dean Hardy has served the insurance needs of lawyers as an independent agent with VBAI since it was founded in 2001. "Tis is a natural progression under the umbrella of insurance services for VBAI," he said, which already works with more than 50 A-rated insurers. "Te fact that this is something that all attorneys need means they will want to know more about their options and choices." Te VBA's desire to expand the oferings of its insurance subsidiary dates to early 2012, when Fain began his one- year term as president of the organization. At the time, the organization not only wanted to more actively market its insurance agency, but also wanted to explore the possibility of ofering property and casualty insurance, especially the legal malpractice coverage that was seen as a real need for attorneys in Virginia. "Law frms are like any other businesses," said Fain, man- aging director at Spotts Fain PC in Richmond. "Tey need a wide range of insurance products for their employees as well as to cover their businesses." Lawyers also need professional liability coverage to pro- tect themselves if they are sued for malpractice. Typical general liability insurance policies cover only bodily injury, property damage, and personal injury or advertising injury claims, not claims of professional negli- gence. However, according to the American Bar Association, 5 percent to 6 percent of all private attorneys face legal mal- practice charges each year, with the cost of litigation typi- cally greater than the cost of legal malpractice insurance. In addition to legal malpractice, VBAI's new oferings include cyber liability, business owner's coverage, workers' compensation, employee practices liability, ERISA bonds, fduciary liability, and directors and ofcers coverage. Fain and Godbey said cyber liability insurance has been around for about a decade and is becoming increasingly im- portant. Tis type of insurance covers a lawyer or law frm for the loss of intangible property such as data or confden- tial information that is leaked or hacked. Fain said he anticipates that lawyers across Virginia, whether VBA members or not, will be receptive to the new products available to them. "We have very high expectations," he said. "Our health, life and disability business has grown very nicely since 2001, and, quite frankly, without a whole lot of marketing on our behalf." Tere has traditionally been some stigma surrounding the active promotion of products to attorneys in the state, he added. However, that attitude has slowly been changing. "We've learned that our membership actually wants us to let them know that there's an insurance agency available to them that's geared specifcally to law frms," Fain said. "We've gotten great response, and I expect a great response to these new products, especially the professional liability coverage. We also hope this will attract new members to VBA." Lawyers do not have to be members of the VBA to be eligible to buy insurance through VBAI. However, Fain said the hope is that their introduction to the subsidiary's in- surance products will also introduce them to the VBA and other benefts available to members in the organization. Buying through VBAI is really a win-win for attorneys. Not only do they get quality products and service, but at the same time they are supporting an association that directly benefts them in their profession. ■ Lisa Oliver Monroe is a freelance writer living in Rich- mond. A native of Gloucester County, her writing has been published in Virginia newspapers and regional magazines, on websites, and in the 2010 travel book Wil- liamsburg: With Jamestown and Yorktown, America's Historic Triangle. WINTER 2014 - 2015 • 35