May 5, 1998

Present at the meeting were Heather Burkham, Dan McCune, Chris Buckman, Bob Treece, Mike Ludwig, Mike McConnell, Robin Beattie, John Phillips, Michael Canges, Dave Little, Reba Nance, John Wheeler, and Michael Mihm.

This meeting was called for the purpose of having the Committee meet with and hear a report from representatives of the bar-endorsed malpractice insurance carrier, Coregis/Westport. Present for Coregis were Fred Fontein, Jim O'Brien and Diana Cygan.

GE Capital Services, Inc. has completed the purchase of Coregis. The name Coregis is being phased out and the name Westport will be phased in. GE will provide new financial strength for Coregis.

Coregis is developing a "customized practice" program for lawyers. Lawyers malpractice insurance will be the hub of the program, with Coregis insureds being able to purchase additional insurance for Directors' and Officers' liability, Employment liability, Title Agent liability, Public Official liability and Fidelity insurances.

Coregis is using a "team" approach for its lawyers' malpractice claims handling. Dan O'Brien is the supervisor for the team that handles Colorado claims. Coregis finds that the team approach works the best; the team members become familiar with Colorado defense counsel and laws, the team can evaluate the effectiveness of defense counsel, and see patterns in the type of claims that are being filed. Most of the claims professionals are lawyers. Coregis has been handling claims in this manner for twenty-five years and has found it very effective.

Coregis has focused on small law firms (1 to 5 lawyers) and has been able to make money serving that customer base where other carriers have not.

Diana Cygan reported in detail on the types of claims that Coregis is seeing in Colorado. Plaintiffs' personal injury and domestic relations practices are still generating the most claims in terms of frequency and severity.

Coregis wishes to put together a checklist for a risk management self-audit that small law firms may use to evaluate their exposure to malpractice claims.

We discussed potential premium rate changes. Coregis does not believe it will be necessary to raise premiums at this time, although certain firms may be surcharged or credited according to the nature of the practice and the claims history. Coregis' experience in Colorado, to date, has been better than expected.

The Committee discussed these and other issues at length.

There being no further business, the committee adjourned.

(Minutes by Michael T. Mihm, Chair)