In New York State, attorneys are not legally required to carry malpractice insurance (Legal Professional Liability, or LPL insurance). There’s no mandate by law or the state bar forcing attorneys to maintain such coverage, and you do not have to disclose your insurance status to clients, unless asked directly—and even then, you’re not obligated to volunteer the information Gallagher Malpractice+12eastcoastlaws.com+12ptprocover.com+12.
1. Is Malpractice Insurance Mandatory?
- ❌ No, New York does not require attorneys to carry malpractice insurance, even in private practice Embroker+1Attorney FAQ+1.
- Unlike states such as Oregon (which mandates coverage) or New Hampshire and New Mexico (which require disclosure), New York has no such requirement ptprocover.com+1Protexure Lawyers+1.
2. Client Disclosure: Do You Have to Tell Them?
- You are not required to affirmatively disclose your insurance status to a prospective client.
- If a client asks, you may respond that you choose not to share insurance details.
- You’re only obligated to disclose to a current client if the information is material to their representation—not simply because they ask Wikipedia+15New York County Lawyers Association+15ptprocover.com+15.
3. Should You Still Get It?
Yes, for several important reasons:
💼 Risk Protection
- LPL insurance protects against claims alleging professional errors or omissions. Even without wrongdoing, defending such claims can be financially burdensome Insureon+2eastcoastlaws.com+2Wikipedia+2.
⚖️ Common Practice
- Most attorneys in private practice carry malpractice insurance. Rates for solo attorneys with basic coverage typically range from $1,200 to $2,500 annually, often more in NYC versus suburbs or upstate Reddit+2Attorney FAQ+2ptprocover.com+2.
- Reddit reports highlight real experiences: A solo New York attorney with $1M/$2M coverage paid around $1,400/year for the first year; premiums often rise in subsequent years Reddit+5Reddit+5Attorney FAQ+5.
🧾 Client or Contract Expectations
- Some clients, especially corporate or institutional clients, may require lawyers to carry LPL insurance as a contractual condition.
🔍 Emerging Risks
- With increasing use of tools like generative AI, new gaps in coverage may arise—insurers may deny claims if AI-generated work wasn’t properly supervised Reddit+15Reuters+15Attorney FAQ+15.
4. Typical Coverage and Costs
| Practice Type / Location | Typical Premium (Solo) | Coverage Limits |
|---|---|---|
| NYC (solo attorney) | $1,200 – $2,500+ | $1M / $2M common |
| Other NY regions | ~$600 – $1,200 | $250K – $1M, depending on risk area |
- Areas like immigration or appellate work—often lower risk—may pay
$600–$1,200/year for modest limits ($250K–$500K) Insureon+5Attorney FAQ+5Protexure Lawyers+5.
5. How to Choose a Policy
- Use a broker who specializes in professional liability for lawyers—they can navigate coverage options and exclusions.
- Typical policy structure: claims-made basis, with possible retroactive coverage for prior work.
- Pay attention to exclusions, especially around technology failures or intentional acts (e.g., AI-related negligence) Reuters+1Reddit+1Wikipedia.
- Firms like Wesco or ALPS are commonly referenced by practitioners Reddit.
- Look into combined policies like a Business Owners Policy (BOP) or add-ons for cyber liability, especially if handling sensitive client data egbowman.com+1Reddit+1.
✅ Summary
- Not mandatory in New York to carry malpractice insurance.
- Not required to disclose coverage to clients unless asked—and you don’t have to volunteer.
- Highly recommended to protect yourself from potential liability and align with professional expectations.
- Annual premiums vary widely based on practice area, location, and risk—often between $1,200 to $2,500+ for solo practitioners in NYC.
- Engage a reputable broker and review policy terms carefully, especially regarding emerging tech-related exclusions.