Many professional indemnity insurance providers have begun to not only scale back the amount of business liability insurance cover they offer to IFAs but have even begun to refuse cover altogether, citing concerns over recent investment failures.
One after-the-event insurer and legal expenses provider has changed its mind recently by announcing it will enter the professional indemnity insurance market in 2012.
2012 may go down as the year in which the government sets out to cut back on what it sees as excessive health and safety legislation which they see as being exploited by aggressive legal firms seeking to make claims under PI insurance cover.
After serving a jail sentence of three years for making off with £90,000 from his clients, one business liability insurance broker now has six months to pay over £50,000 in restitution.
In order to manage the cost of claims more efficiently, IFAs that have advised investment in Arch Cru in the past have been told to contact their PI insurance providers in order to request they make contributions to the Capita redress scheme.
One IFA, after contacting his professional indemnity insurance provider in regards to FSCS claims based on Keydata has been rejected, professional liability insurance experts recently reported.
Conflict of interest could happen more regularly from next year when changes to personal injury law take effect.
One professional indemnity insurance broker recently reported a ‘fantastic’ growth year, due to sales of its professional liability insurance policies and its successful recruitment firm specialist policies.
A small Sussex-based independent commercial insurance broking firm recently shared top honours at the 2011 Insurance Times Awards alongside two of the largest players in the industry.
The Royal Institute of Chartered Surveyors recently announced it is launching a consultation to investigate what can be done about the UK valuation sector’s professional indemnity insurance market, experts say.