Accounting Insurance Experts

Choice of Counsel Denied by Courts

An Illinois Court of Appeals  upheld the decision of a Texas District Court  regarding a law firm’s ability to choose counsel in a malpractice suit.  The insured explained their right to choose counsel stemmed from the fact that the insurance company made it clear that no insurance would be available if the malpractice case were lost.  The law firm saw this as a conflict of interest and sued to have the right to choose their own counsel instead of have counsel given to them by the insurance company.  The courts disagreed with the law firm and allowed the insurance company (Navigators Insurance Company) to choose counsel.

InsureAccountants.com explains that this decision highlights how important choice of counsel wording can be in a policy.   There are some insurance companies who allow the insured to choose counsel in the event of a claim – while others do not allow the insured to have any say in the matter.  Contact a licensed broker today for a review of your current policy and to discuss options at renewal.

 

 

 

 

 

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