CLC hails successful PII renewal round as more insurers enter the market

The Council for Licensed Conveyancers (CLC) hails successful PII renewal round as more insurers enter the market.

The CLC has said that all of its regulated firms, across both conveyancing and probate, have successfully secured professional indemnity insurance (PII) coverage for the year ahead.

The PII market has seen significant hardening over recent years, with firms reporting difficulties securing cover in previous renewal rounds. However, this year the CLC saw two new entrants to the market – Probitas Syndicate 1492 and XS Assure Limited. They join existing participating insurers, Chubb, IGI, Amtrust and Liberty Mutual.

The announcement coincides with the release of new research from law firm Browne Jacobson and the International Underwriting Association, which suggests that licensed conveyancers pay a median premium that is around 3% of their annual turnover, compared to 5% for solicitors.

Claire Richardson, deputy director of authorisations at the CLC, said:

“Existing CLC practices and those looking to switch regulation to CLC will benefit from the improved competition and flexibility in the market.

“We have seen firms offered better terms and more competitive pricing because of the increased options.

“As a result, firms are choosing their insurer based on service rather than solely on the premium offered.

“Further, the growth in insurers’ appetite to enter the CLC market is an indication of the overall positive performance of CLC practices.

“If conveyancing and probate specialist firms are considering switching to CLC regulation, they should contact us at least three months beforehand to enable the process to work smoothly across the various in-year PII and licence renewal points.”

In 2022 the Legal Services Board approved changes to the CLC’s participating insurer agreement, which came into effect for the 2023 renewal season. These changes included firms being obliged to submit at least one application for professional indemnity insurance (PII) two months ahead of the renewal deadline.

Similarly, insurers receiving applications must respond no less than one month before the deadline, on 1 June, in a bid to reduce the risks involved when firms and insurers take renewal right up to the 30 June cut-off.

Kindly shared by The Council for Licensed Conveyancers (CLC)