Highlights of Our 2025 Renewal and 2024 Results

We are pleased to provide this overview of our 2025 renewal and 2024 operating results. As of January 1, 2025, we have 223 member firms with over 82,000 lawyers, a record census for the seventh straight year. This also marks our 21st straight year with a renewal rate of 98%–100%. These sustained positive results reflect the loyalty of our membership and the significant value we provide our firms. Highlights of the year include the following:

• Since January 1, 2024, we have added six new members, including two thus far in 2025: BakerHostetler; Cohen & Gresser; Crowell & Moring; Gibbons; Harris Beach; and Robinson Gray Stepp & Laffitte. A total of 31 new member firms with over 12,000 lawyers, including 14 firms in the Am Law 200, have joined us since January 1, 2020. We are currently discussing potential membership with several other premier firms.
• ALAS remains financially strong and well capitalized. We recorded favorable operating results in 2024, leading to an increase in net worth of approximately $140 million. At year-end 2024, net worth stood at approximately $1.15 billion, which is an all-time high for the company. On May 23, 2024, Fitch reaffirmed our financial strength rating of “A” (Strong) with a Stable Outlook.
• Our LPL claims results remain solid. In 2023, total loss emergence—which measures the net change in case-specific reserves from the prior year—declined from the prior year, while claims frequency remained near historically low levels. So far this year, underwriting results have been positive.
• We once again had positive claims experience in 2024, with strong underwriting results and stable loss emergence. In contrast, reports from brokers and carriers continued to show a poor LPL claims environment in the commercial market, leading to rate increases, lower limits, and other adverse consequences for insured law firms. We attribute our better results to our selective underwriting process, collaborative claims management approach, and unequalled risk management services.
• Our long-term LPL rate history is favorable and markedly different from the commercial market. We made no change to our LPL rates for 2025. Since 2015, we have either decreased rates or held them steady in 10 of those 11 years. Over that time frame, our LPL rates have declined by nearly 20%.
• In our program offering combined management and employment liability coverage, we have decreased base rates by nearly 33% over the past 11 years. As of January 1, 2025, we insure 134 member firms with over 66,000 lawyers under this program, which is 80% of our total census.
• The scope of our risk management resources far exceeds anything offered in the commercial market. Our services are designed not only to mitigate risk, but to improve the quality of our firms’ legal practices and operations. Our major events in 2024 included our Creating Inclusive Law Firms in Modern Times Conference; New General Counsel Conference; Annual General Meeting; Managing Partner Program; and Cybersecurity Conference. Our resources also include a wide range of written and electronic guidance and in-firm programming that address emerging issues of concern. For example, last year we continued to address the implications of generative AI and assisted our firms in mitigating employment liability risk.
• We also differ sharply from commercial carriers in our member-centric interpretation of our broad policy form and in our collaborative approach to claims management. In the most challenging claims, our approach includes a willingness to dedicate the resources necessary to take matters to judgment. And that approach continues to achieve exceptional results, including complete defense victories in all 16 of our trials and arbitrations since 2022.
• We have the most extensive database of LPL underwriting and claims information in the industry. Through our data analytics group, we use that information to provide resources that help our firms address various risk and operational issues. For example, in 2024 we issued a new edition of ALAS Edge: Data InsightsTM, which analyzed the results of, and offered insights relating to, a set of cybersecurity surveys our members have taken in recent years.
• The resources we offer our members involved in mergers and large lateral hiring transactions are unmatched. Last year, that included providing due diligence, underwriting, and risk management services to many of our firms involved in these strategic combinations. In addition, the coverage options we offer in these areas are broader in scope and less expensive than commercial alternatives.
• Our capital strength and strategic use of reinsurance allow us to offer LPL coverage limits up to $100 million per claim, the highest in the industry. As of January 1, 2025, we have 47 firms with over 35,000 lawyers, or 43% of our insured census, purchasing our maximum limits. In recent years, dozens of members have increased their policy limits, both to our maximum level and otherwise. These decisions reflect the value of our policies, which are broader than commercial forms in many critical areas. Also, we are the sole insurer under our policies, which is far superior to commercial programs with groups of carriers at multiple coverage layers.

We have the largest, most experienced group of lawyers and professionals in the industry dedicated to helping premier law firms navigate increasingly complex issues related to insurance coverage, loss prevention, and claims management. If you would like to discuss the benefits of ALAS membership for your firm, please contact any of the lawyers in our Member Services group: