A THERAPIST is sued for malpractice after entering into a romantic relationship with a patient. A judge overturns a ruling in a murder case because the attorney representing the accused had a sexual relationship with his client's mother. An information technology consultant, working under contract with a trade school, is sued after having an affair with a student. A coach is accused of negligent supervision when two high-school athletes skip practice and are caught engaging in a sex act with another student in the locker room. Any of these scenarios could be a preview for a titillating sweeps-week episode of a television program, a real-life headline on the evening news, or a risk-manager's nightmare. In certain professions, mixing business with pleasure–or simply being accused of doing so–is increasingly common, and the repercussions can devastate a professional's reputation, career and personal finances.

To help producers and underwriters understand and address the perils of “wrongful sex,” a panel of experts explored the subject last November at the PLUS International Conference held in San Diego, Calif. With the help of moderator Eric J. Sauter, an attorney at Wilson Elsner Moskowitz Edelman & Dicker LLP, they fielded some commonly asked questions about insuring sexual misconduct. The panel included Deborah K. Ropelewski, senior vice-president of Gallagher Healthcare Insurance Services Inc.; Richard J. Robin, executive vice president and chief operation officer of NAS Insurance Services; and Jacqueline M. Melonus, RN, JD, vice president of risk management for Professional Risk Management Services.

Q: What is the basis of the “wrongful sex” risk?

Deborah: What we call “wrongful sex” is any type of sexual misconduct or “undue familiarity” in which a professional engages while carrying out the duties of his or her profession. Most people are familiar with sexual harassment and the types of behaviors it encompasses in the context of employment practices (employer/employee relationships). We use “wrongful sex” in the broader context of any type of professional liability (not EPLI). It may involve a romantic or sexual relationship with a client, patient, vendor or any other third party with whom the professional interacts during the course of business. One psychiatry program's policy defines the term as actual, alleged, attempted or proposed erotic physical contact with either patients (current or former), their family members, members of their households, or someone with whom a patient has or had an affectionate relationship.