Claims Reporting : Changing Insurers

For those CPAs considering changing to CPAGold™ ....

Professional Liability Coverage for accountants is offered on a Claims Made and Reported basis. When changing insurers it is extremely important to ensure that all claims and incidents that might reasonably be believed will give rise to a claim are notified to the expiring carrier. In your present policy, it states that all claims must be notified to the your insurer and provides contact details.

An example of the wording from a leading insurer of accountants' professional liability policy is as follows:

V. WHEN A CLAIM IS DEEMED AS FIRST MADE

A Claim shall be deemed as being first made at the earlier date of the following times:

A. When the Company first receives written notice from the Insured or its representatives that a Claim has been made; or
B. When the Company first receives written notice from the Insured or its representatives of specific circumstances involving a particular person or entity which may result in a Claim

All Claims arising out of the same or relatedact, error, omission or Personal Injury shall be considered as having been made at the same time the first such Claim is made, and shall be subject to the same limit of liability and deductible.

and

IX. CONDITIONS

2. Assistance and Cooperation of the Insured in the Event of Claim or Suit: Upon the Insured becoming aware of any act, error or omission in the rendering or failure to render Professional Services which could reasonably be expected to be the basis of a Claim covered hereby, written notice shall be given by the Insured, or its representatives to the Company together with the fullest information obtainable. If Claim is made or suit is brought against the Insured, the Insured or its representatives shall immediately forward to the Company every demand, notice, summons or other process received by the Insured or the InsuredÁs representative. The Insured shall cooperate with the Company and, upon the Company's request, assist: in making statements, in the conduct of suits and in enforcing any right of contribution or indemnity against any person or organization who may be liable to the Insured because of Damages with respect to which this insurance applies. The Insured shall attend hearings and trials and assist in securing and giving evidence and obtaining the attendance of witnesses. The Insured shall not, except at the Insured's own cost, voluntary make any payments, assume any obligation or incur any expense. The Insured may provide for Alternative Dispute Resolution with a client under an engagement letter or any other written contact, as long as such agreement is executed in writing prior to any Claim being made.

However, please review your present insurance policy to ensure full compliance with the terms and conditions.

New York Marine and General Insurance Company:

New York Marine and General Insurance Company
Attn: Professional Liability Claims
919 Third Avenue
10th Floor
New York, NY 10022
 
Telephone: 212-551-0600
Facsimile: 212-986-1310

Please carbon copy CPAGold™/Jorgensen & Company with all correspondence:

 

Street address:

Parkview Plaza West
1200 East Ridgewood Avenue
Ridgewood, New Jersey 07450

Postal address:

Parkview Plaza West
1200 East Ridgewood Avenue
Ridgewood, New Jersey 07450
 

Telephone:    877 CPAGOLD (2724653) or 201 447 4400
Fax:                 201 251 0439

Electronic mail:

Contact:       rjorgensen@jorgensenandcompany.com

 

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Email notification

New York Marine and General Insurance Company will accept initial notification of any claim or potential claim via electronic mail, provided always that such notification is immediately followed via First Class Mail or Courier Service, by copies of all pertinent documents, suit papers and correspondence.  

Such notification acceptance does not constitute a confirmation that coverage is afforded by the policy to any insured, but is provided merely as a convenience to allow efficient and timely response to a claim or potential claim.

Please follow this link to the appropriate email address.

Email notification.

Claims or incident reports must provide the following information:

1. the nature of the specific act, error or omission including the date of notification; and
2. the damage which has or may result from such act, error or omission and the reason why such damage is anticipated; and
3. the circumstances by which you first became aware of such act, error or omission;

Appointment of Defense Counsel should be coordinated with your insurer and any suits papers, writs or requests for an appearance or documents sent to your insurer immediately for action.

Please do not discuss anything about a claim with potential or actual claimants.  Refer all matters to your insurer.

Like most accountants professional liability policies, CPAGold™ is written on a claims made basis: Failure or delay to notify your insurer of a claim or incident could prejudice your defensive position and possibly your rights to coverage under the program. We urge you to contact your insurer immediately upon receiving notice of a claim or becoming aware of an incident that might give rise to a claim.