We have been involved in the arrangement of solicitors professional indemnity insurance for many years having been actively involved in solicitors top-up professional indemnity and deductible infill insurance in the days of the SIF.
What limit of indemnity does a solicitor need for professional indemnity insurance?
The SRA minimum terms and conditions of Professional Indemnity Insurance requires:
The sum insured for any one claim (exclusive of defence costs) must be, where the insured firm is a relevant recognised body or a relevant licensed body (in respect of its regulated activities), at least £3 million, and in all other cases, at least £2 million.
In addition to this stated requirement, changes to the SRA Code of Conduct 2011 effective from the 1 April 2015 place a requirement upon firms as follows;
O(7.13) you assess and purchase the level of professional indemnity insurance cover that is appropriate for your current and past practice, taking into account potential levels of claim by your clients and others and any alternative arrangements you or your client may make.
Are solicitors professional indemnity policies on a claims made or claims occurring basis?
It is a requirement upon all qualifying insurers that solicitors indemnity insurance policies are underwritten on a claims made basis. (more on claims made vs claims occurring)
What is excess layer solicitors professional indemnity insurance for solicitors?
Generally, qualifying insurers are reluctant to provide more cover than the minimum requirement in respect of any firm yet may practices consider a higher limit to be prudent, In this case an excess layer professional indemnity insurance policy arranged with another insurer can provide the additional indemnity on top of the primary insurers limit.
How much is solicitors professional indemnity insurance?
The cost of your solicitors professional indemnity cover will depend upon a few key factors including the exact nature of the work you undertake, how much work you undertake annually, your previous experience and whether you have previously had any claims made against you.
How does the policy excess reduce the premium under a solicitors professional indemnity insurance?
For many firms the decision to accept a higher policy excess under the policy can result in a significant saving in premium, in many cases this may result in a premium saving almost equivalent to the level of excess under the policy. This can certainly be attractive to firms with a traditionally low claims frequency.
How to apply for solicitors professional indemnity insurance?
You can apply on-line or call us directly to discuss your requirements with one of our professional liability brokers.
In order to provide a quote certain information is required by most insurers as standard;
- A complete proposal form
- 5 Years claims experience
- A copy of the firm’s letterhead
- 3 Years accounts
Apply Now for Solicitors Professional Indemnity Insurance
If you have not yet completed a proposal form you can download it from here.
If you already have completed a proposal form you can send it to us by email here or use the form to upload your documents directly to our specialist brokers.
What is solicitors run off professional indemnity insurance?
As a result of the claims made basis of settlement under most solicitors policies you may need to consider a run off policy to protect you after you have ceased trading or sold your business in order to protect you against any claims that arise after your existing insurance has expired.
The cover is arranged for a period of 6 years and the premium required by the insurer will be based on a multiple of the expiring policy premium, generally this will be 300% although certain qualifying insurers may specify alternative multiples.