Although most observers consider the CPA professional liability insurance market to be moving toward a "soft" model, one company has dropped out of the market altogether, while another company has just entered."We're not writing any new business," said Mike Phillips, miscellaneous professional liability product manager for Chubb Specialty Insurance.
"Compared to several years ago, it is a soft market," said Bill Thompson, of Alachua, Fla.-based CPA Mutual Insurance Co. "A lot more companies are back in the market than a couple of years ago. It's always surprising to me, because you would think the companies would learn. When you think about it, if you sell a product that cost $10,000 in 1990 and you sell it for $6,000 or $7,000 in 2006, does that make sense? Especially when you consider that legal fees and awards and the expense of settling claims has increased."
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