AI law firm Crosby buys $5M malpractice policy, drops lawyer oversight on 20% of work

graceisford · x · 2026-11-10

Crosby, an AI-powered law firm, has secured a $5M malpractice insurance policy for its agents — reportedly the first of its kind. Nine months ago the firm noticed agents were outperforming some of its own lawyers on certain tasks. Once the policy took effect on Nov 3, it removed lawyer oversight from all tasks that don't legally require a licensed attorney ("paralegal tasks"), roughly 20% of its workload, freeing lawyers to focus on judgment and strategy. Co-founder Ryan Daniels says the firm treats agents like full-time employees held to a consistent quality bar, doing real client work and turning failures into evals for continuous improvement.

Related event: AI Law Firm Crosby Insures Its AI Agent for $5 Million and Drops Human Oversight(3 posts)→

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