ATT/CIOT have been made aware that the PII market has changed over the last 12–18 months. As a result, members may find it more challenging and/or time-consuming to renew cover than before and insurance providers may well ask for additional information. It could also mean that members find their premiums increase.
The change in appetite has largely been driven by the Grenfell disaster. Although this was in the construction industry, the knock on effect has been felt in all sectors of the insurance market and we have been told that insurers are reviewing more critically the risks they are willing to accept and the price they will set for cover; as well as a number of providers leaving the insurance market altogether. In addition, Covid-19 will not have helped an already strained market.
Members and their firms are therefore recommended to prepare early for their renewal, particularly if they have a disciplinary or claims history that they need to disclose or if they work in high risk areas such as tax mitigation schemes, investment advice, insolvency, entertainment, legal work, valuations, offshore and M&A work. Insurance providers and brokers are generally sending out their renewal reminders several months in advance and it is advisable for members to submit their requests for renewal as early as possible as insurers may take several months to respond. Leaving it to the last week or days before your insurance runs out to renew may leave you exposed and without insurance cover and this is contrary to CIOT/ATT Professional Indemnity Insurance Regulations.