Have Malpractice Insurers Got It Wrong?
Consider the first paragraph of this recent article that I just read:
I am not exactly sure how to characterize my reaction to this. At first I guess I was surprised, but then deep disappointment seemed to kick in. Are our insurers really that hostile to new Web technologies?
Personally, I am not that versed in the insurance industry; however, everyone knows that insurance is all about calculating risk. That said, it would seem that a legal blog presents insurance problems only when the blog creates added risk that renders the premium inadequate to cover the added risk.
So, is there a real risk involved in blogging on your firm's site, or even your personal legal page? Here, some insurance companies would probably say an unqualified, "Yes." But what exactly is the risk? That a client or potential client reads the blog and relies on the information as legal advice? And if this risk does exist, is it significant enough to effect your premiums or even your insurability as a whole?
First, I must respectfully disagree with the position that a blog, or really any Web service for that matter, constitutes legal advice if the proper precautions are taken. I have conducted a fair amount of research into this field and concluded that many states are addressing this issue in their respective rules of professional ethics. In most cases, Web services are deemed to be strictly informative and educational, and not actual legal advice, so long as the proper precautions are taken in accordance with the rules of the state (ex. Prominent disclaimer, no fraud or misrepresentation, lack of business solicitation, etc.).
Also, I feel that it is patently unreasonable for a consumer of legal services to rely on a blog or website as legal advise. Perhaps things are different for the older or less sophisticated members of the public who may be unfamiliar with the internet, but most people know that practically anyone on earth can place information on the internet without restrictions, and that the consumer should beware before actually relying on information posted on a website. For example, you would have to be a fool to rely on the postings of this blog, and alter your behavior significantly based solely on the information that I post.
I should also point out that if there is some risk that an internet resource present some insurance risk, I cannot see how this added risk is so significant as to render a firm uninsurable, or even affecting the premium. I have not really researched this, but perhaps practitioners should forward a formal inquiry into cases of attorney liability for information on law firm websites.
Lastly, I would like to point out that the insurance industry is doing a great disservice to the legal community if lawyers' hands are tied when they wish to make use of internet technologies. Many of these technologies are very useful to the practice of law, and we should learn to embrace them.
For more information about law practice technology, please visit http://lawtech.wikidot.com
Volume , No.
Copyright 2007 ALM Properties, Inc. All rights reserved.
March 16, 2007 ,
BEFORE YOU BLOG, CHECK WITH YOUR CARRIER
EVEN WITH DISCLAIMERS, PROFESSIONAL LIABILITY ISSUES MAY LURK
By Lisa Brennan
Law firms of all sizes have turned to blogs to showcase their expertise, but at least one New Jersey firm has put the plan on hold out of liability concerns.
The reason: Its malpractice carrier said blogging would make the firm uninsurable.
I am not exactly sure how to characterize my reaction to this. At first I guess I was surprised, but then deep disappointment seemed to kick in. Are our insurers really that hostile to new Web technologies?
Personally, I am not that versed in the insurance industry; however, everyone knows that insurance is all about calculating risk. That said, it would seem that a legal blog presents insurance problems only when the blog creates added risk that renders the premium inadequate to cover the added risk.
So, is there a real risk involved in blogging on your firm's site, or even your personal legal page? Here, some insurance companies would probably say an unqualified, "Yes." But what exactly is the risk? That a client or potential client reads the blog and relies on the information as legal advice? And if this risk does exist, is it significant enough to effect your premiums or even your insurability as a whole?
First, I must respectfully disagree with the position that a blog, or really any Web service for that matter, constitutes legal advice if the proper precautions are taken. I have conducted a fair amount of research into this field and concluded that many states are addressing this issue in their respective rules of professional ethics. In most cases, Web services are deemed to be strictly informative and educational, and not actual legal advice, so long as the proper precautions are taken in accordance with the rules of the state (ex. Prominent disclaimer, no fraud or misrepresentation, lack of business solicitation, etc.).
Also, I feel that it is patently unreasonable for a consumer of legal services to rely on a blog or website as legal advise. Perhaps things are different for the older or less sophisticated members of the public who may be unfamiliar with the internet, but most people know that practically anyone on earth can place information on the internet without restrictions, and that the consumer should beware before actually relying on information posted on a website. For example, you would have to be a fool to rely on the postings of this blog, and alter your behavior significantly based solely on the information that I post.
I should also point out that if there is some risk that an internet resource present some insurance risk, I cannot see how this added risk is so significant as to render a firm uninsurable, or even affecting the premium. I have not really researched this, but perhaps practitioners should forward a formal inquiry into cases of attorney liability for information on law firm websites.
Lastly, I would like to point out that the insurance industry is doing a great disservice to the legal community if lawyers' hands are tied when they wish to make use of internet technologies. Many of these technologies are very useful to the practice of law, and we should learn to embrace them.
For more information about law practice technology, please visit http://lawtech.wikidot.com
posted by Dan Levy | 11:29 AM
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