Professional indemnity insurance: Frank Maher casts an expert eye over what to expect
With approximately 90 per cent of the profession still renewing its professional indemnity insurance (PII) on 1 October 2015, we look at what to expect and what to look out for. This is the first of three articles—the second of these will look at problem cases, and the third will look at the implications of possible changes in compulsory cover. In this article, we look at market conditions and the factors to consider on renewal.
Top of the agenda is that insurers have been hit by large claims arising from bank scams, and at least two of the larger ones will be asking specific questions on firms’ training and controls. All staff need training, not just accounts staff. By way of example, questions are being asked about what controls you have put in place to combat internal and external frauds and scams. Firms are being asked for details of training, including to whom it is provided and how often, and about your firm’s systems and procedures.