Valuable Papers Coverage for Canadian Lawyers

What is Valuable Papers Insurance and why do Lawyers Need it?

What is Valuable Papers Insurance?
Valuable papers insurance reimburses the policyholder for the cost of any valuable papers such as wills, trusts, corporate charters and other records that are lost for any reason. Though it cannot actually replace these papers, it covers the expense to replace or reproduce the damaged papers.

Why do Lawyers Need this Coverage?
Similar to buildings, office furniture and other assets, valuable papers may be damaged or destroyed due to an unfortunate event. These documents are important, so you will need to restore or reproduce them. Replacing these items can be expensive and time-consuming. Not being able to replace or reproduce these documents quickly can seriously affect the day to day operations of your law firm. Fortunately, you can protect your business against these costs and the risks associated with the loss of important documents by purchasing valuable papers and records insurance or by having a high limit coverage for valuable papers in your office insurance policy. This coverage is important for law firms given the nature of the business and the expense associated with many of the valuable papers, which is why the Lawyers Financial Office Insurance policy provides valuable papers and records coverage up to $500,000. This coverage amount provides the needed coverage for high cost legal documents and records.

A standard commercial property insurance policy will have limited coverage for valuable documents, but the standard policy will likely not be sufficient to cover the value of certain high value papers and records or the significant cost associated with replacement. This is why as lawyers it is important to consider the risks and ensure you have sufficient coverage for your operations. A key point to note is that valuable papers insurance usually excludes documents stored electronically. For protection of electronically stored documents, consider getting electronic data processing coverage.

Reduce the risk of losing valuable papers and records
Even if you have valuable papers coverage, it is always better to keep your valuable papers safe. Here are some tips on how to mitigate the risk of loss to your valuable papers and records:
1. Keep duplicates of important documents in a different/remote location
2. Keep digital copies of these documents on your local computers and online
3. Give special care and attention to documents that cannot be reproduced or are rare collectables. Store these in secure storage spaces or vaults.
4. To reduce damage caused by fires replace your water sprinkler system with a dry chemical extinguishing system.

Keeping your valuable papers safe and insured is important, especially as lawyers. If you do not already have coverage or measures in place to secure your important records and documents, we recommend you evaluate your risk and find appropriate coverage for your needs. The Lawyers Financial Office insurance program includes high limits of coverage for valuable papers along with many other inclusions that are important for lawyers and law firms.