Heffernan Insurance Agency to Offer First-of-its Kind Contract Litigation Insurance from Sonoma Risk

LOS ANGELES, Sept. 27 /PRNewswire/ -- Sonoma Risk Insurance Agency and Heffernan Insurance Agency today announced the distribution of Contract Litigation Insurance (CLI) in California. Underwritten by Zurich, this first-of-its kind policy helps to protect plaintiffs and defendants from having to pay their adversary's attorneys' fees should they lose their case.

Sixty-six percent (66%) of defendants now lose their contract disputes at trial according to the Bureau of Justice.

"With 'Loser Pays' provisions becoming more prevalent in the US legal system litigants are thinking twice before bringing even strong cases to court.  Legal fees are often more than the damages.  With Defendant Contract Litigation Insurance (DCLI) and Plaintiff Contract Litigation Insurance (PCLI), companies and individuals can protect themselves from having to pay their adversary's legal fees and decide whether or not to pursue a case based on its merits," said Kevin Martin, founder and Chief Executive Officer of Sonoma Risk Insurance.

Contract Litigation Insurance (CLI) will offer a variety of benefits to businesses and individuals including:

• Reducing financial risk exposure
• Enabling companies/individuals to pursue strong claims that otherwise may have been abandoned due to financial liability
• Allowing general counsels and business owners to budget litigation costs more effectively

"We're excited to offer this unique policy from Sonoma Risk.  It goes hand-in-hand with one of our core values – providing the communities we serve with the ability to effectively manage financial risk," says John Tallarida, Senior Vice President of Heffernan Insurance Brokers.

The distribution agreement provides Heffernan access to all of Sonoma Risk's legal insurance policies, including its flagship product, Plaintiff Contract Litigation Insurance™ (PCLI), as well as the recently launched Defendant Contract Litigation Insurance™ (DCLI).

To provide the maximum amount of flexibility to businesses and individuals, PCLI can be bought within 60 days of the commencement of litigation and the DCLI policy can be purchased from time of service.

Zurich, which has provided specialized insurance to commercial and professional markets through qualified program administrators in North America's Programs business for more than 50 years, is backing the Defendant Contract Litigation Insurance (DCLI) and Plaintiff Contract Litigation Insurance (PCLI) policies.

"When we first launched this program with Sonoma Risk, we said attorneys who share information about the benefits of this new program with their clients are exhibiting their continued desire to uphold the ethical and professional responsibilities that come with practicing law," said Damiano Servidio, head of Professional Services for Zurich's Programs unit.  "We are pleased that this message is resonating so quickly within the legal community and is helping us expand this new policy from where we first launched it in Los Angeles."

ABOUT SONOMA RISK INSURANCE AGENCY

Sonoma Risk is dedicated to providing innovative and affordable litigation insurance to individuals, businesses, and corporations.  Its policies are underwritten by individual member companies of Zurich in North America, a leading global insurance carrier.

Based in Los Angeles, with regional offices planned for the Midwest, Southwest, Southeast, and Northeast, Sonoma Risk is comprised of a skilled management team of seasoned professionals within the legal and insurance industries.

For more information go to www.sonomarisk.com.

ABOUT HEFFERNAN INSURANCE BROKERS

Heffernan Insurance Brokers, formed in 1988, is one of the largest independent insurance brokerage firms in the United States.  Heffernan provides comprehensive insurance and financial services products to a wide range of businesses and individuals.  Headquartered in Walnut Creek, California, Heffernan has additional offices in San Francisco, Petaluma, Palo Alto, Los Angeles, and Orange, California; Portland, Oregon, and Chesterfield, Missouri.

For more information go to www.heffins.com.

ABOUT ZURICH

Zurich in North America is a part of Zurich Financial Services Group (Zurich), an insurance-based financial services provider with a global network of subsidiaries and offices in North America and Europe as well as in Asia Pacific, Latin America and other markets.  Founded in 1872, the Group is headquartered in Zurich, Switzerland and employs approximately 60,000 people serving customers in more than 180 countries, including more than 9,500 employees in North America.

Underwritten by individual members companies of Zurich in North America, this PCLI policy is offered only in certain jurisdictions and can be purchased only on a surplus lines basis from a licensed surplus lines producer.  The description here is a summary only. It does not include all terms, conditions and exclusions of the policies and coverages described.

For more information about programs offered by Zurich, go to http://www.zurichna.com/programs.

SOURCE Sonoma Risk Insurance Agency