‘Tis The Season for …. PII Renewals
PII Risk Profiles
We know September is the month in which solicitors’ firms are likely to have to renew their Professional Indemnity Insurance (PII). While the common renewal date of October 1 has been relaxed, many law firms will still see their essential insurance protection run out at the end of this month.
PII is compulsory for those practising law in England and Wales. It is a vital element of doing business, and conveyancing solicitors who handle large sums of money for property transactions are considered the highest risk for insurers.
While most law firms are likely to have already searched for the best PII for their company, the relatively small number of insurers providing this type of cover makes finding the best, most affordable and comprehensive insurance more difficult.
At the moment there are around 20 insurance companies that have signed up to the Solicitors Regulation Authority’s Qualifying Insurers Agreement, and only they are allowed to sell professional indemnity insurance to solicitors in England and Wales.
A high churn rate of insurers exiting and entering this relatively small market can make shopping around to find the best commercial deal a lengthy process for solicitors who will have to provide detailed information on their business, cash flow and revenue, and partners or directors to be considered for cover.
Any historic claims must be disclosed, while disclosing the positive outcome of a compliance audit could help reduce premiums.
Providing Peace of Mind
Putting this cover in place is not only essential, but supports solicitors if negligence claims arise and provides compensation to clients. Searches UK are supporting their clients by offering a free Lexsure Lender Compliance Audit, which can provide peace of mind that conveyancing files are in good order and reduce the risk of exposure to an insurance claim.
More Complex Issues in Conveyancing
Conveyancing solicitors face a growing workload and increasingly complex issues because of the dynamic nature of property transactions. For example, lender file audits are on the rise, and any non-compliance with the UKF (formerly CML) Lenders’ Handbook will be punished by removal from a lender’s panel and a claim for insurance.
Searches UK can help solicitors minimise their risk to this type exposure through their free Lender Compliance Audit, via Lexsure.
Lexsure have more than a decade of compliance expertise, using a comprehensive database of lender requirements that gives them a unique ability to review conveyancing case files retrospectively.
A file audit will assess whether each transaction was in line with lender instruction at the time of submission of the Certificate of Title and, if not, the extent of exposure that presents to the law firm, its insurer and the lender.
Reducing Exposure to Risk
Lexsure usually only offer this audit facility to lenders and insurers. However, Searches UK have negotiated a free, confidential audit from Lexsure for all Searches UK clients (subject to terms and conditions).
This thorough audit will give solicitors peace of mind that their files are in order and their risk of exposure to insurance claims is reduced considerably.
Book your FREE Lexsure Lender Compliance Audit today
Book your free Lexsure lender compliance audit by calling Searches UK on 0800 043 1815 and talk to our dedicated team today. Or you can email us at email@example.com to discuss your requirements and arrange a bespoke audit.
Kindly shared by Searches UK