Professional Liability Insurance Committee
Committee Action Plan (CAP)
Who We Are
The Professional Liability Insurance Committee oversees the Society's professional liability insurance program. The PLI program seeks to continually monitor the market place for malpractice coverage available to our members and to educate Society members in the need for professional liability insurance, evaluate the strengths and weaknesses of the various insurance providers available to the members, meet with insurers to improve the quality of liability coverage available, by suggesting changes to their insurance contracts, endorse insurance coverage for members in public practice, as well as provide risk management and loss prevention tools and resources to Society members in general.
In 2000, the PLI Committee (then a task force) undertook the process of evaluating the CPA liability insurance market in New York State in order to recommend a carrier for Society endorsement. The result of this comprehensive process was the recommendation and endorsement of a company founded by CPAs which exclusively insures CPA firms. That company, or any future company recommended and endorsed, is hereinafter referred to as the "approved provider".
In 2002, the task force was formally designated a committee charged with, among other things, evaluating and monitoring the approved provider's performance of its obligations under its partnership with the Society.
What We Do
The following are some of the responsibilities of the Committee:
- To closely monitor and evaluate the performance of the approved provider under the terms of the endorsement contract with the Society.
- To meet quarterly with approved provider representatives, review policy and claims statistics for the New York State program and discuss membership marketing initiatives.
- To discuss and keep abreast of insurance, risk management and loss prevention issues pertaining to CPAs.
- To evaluate the competitive marketplace for CPA liability insurance in general, and compare and contrast the approved provider with other companies offering liability insurance to CPAs.
- To report at least annually to the Executive Committee or Board of Directors on the state of the program.
- To assist in the development and provision of risk management and loss prevention education and resources to Society members including, but not limited to, CPE, articles for publication in The CPA Journal and The Trusted Professional, website links and speaking engagements.
- To communicate and collaborate with Society staff to the extent necessary to further the goals of the Society's Professional Liability Insurance Program.
Who Should Join
Participation is open to all members of the Society, however, members in public practice are especially encouraged to join, as are approved provider policyholders. Knowledge of the insurance industry is also helpful, though not required.
Benefits of Committee Membership
The following are among the benefits of membership on the Committee:
- The ability to network with other members who are interested in CPA professional liability and risk management issues.
- The opportunity to help Society members protect their practices, and ultimately protect the public, through effective risk management practices.