Professional Liability Pre-Claim Assistance

Using the Pre-Claim Assistance Process

Disputes happen. Dissatisfied clients, construction firms with cost recovery programs, injured third parties, and other claimants often try to tap into the insurance and financial assets of firms to solve real or perceived problems. Professional Underwriters, Inc. encourages our insureds to report any circumstance or incident that could lead to a claim so that the carrier claim professionals can work with you to try to head off potential claims and litigation.

At the first indication of a problem, you should discuss the situation with your broker or agent. You also may want to contact, at your expense, your firm’s counsel. Once we have been notified, the carrier will take appropriate steps to try to determine the extent of the problem. A claim professional will work with you to investigate, direct, monitor, and assess
your situation.

When the carrier decides that early assistance is desirable, the costs incurred in representing you in pre-claim situations are paid wholly by the carrier. Costs associated with reporting
a pre-claim or “circumstance” are not viewed as part of the loss experience during the underwriting process. An additional benefit of early reporting is that you lock in the limit of liability and deductible in force at the time the circumstance is reported should the incident later develop into a claim.  A “circumstance” is defined in the policy as “an event
reported to the Insurer during the policy term from which the Insured reasonably expects that a claim could be made.”  The pre-claim assistance program can be “preventative medicine” for disputes. You are encouraged to take advantage of the expertise of the carriers claim professionals, and the value of a pre-claim assistance program.

For more information please contact your Professional Underwriters, Inc. agent or contact us here.