Indemnity insurance

The High Court has refused to aggregate as one claim various actions a Yorkshire law firm’s indemnity insurer is facing because of a multi-million pound fraud run by one of its partners.

Negligent conveyancers should not be able to avoid liability because it emerges later that their client was engaged in mortgage fraud, the Supreme Court has ruled.

The Law Society has expressed sympathy with professional indemnity insurers over their call for the right to cancel policies when solicitors do not pay the premium or excess.

Indemnity insurers have warned solicitors that they will suffer the consequences of their regulator maintaining that policies cannot be cancelled for non-payment of premiums or excesses.

The High Court has issued a second summary judgment ruling against EAD Solicitors arising from the alleged fraudulent activities of a businessman in collusion with a former partner of the Liverpool law firm.

Law firms are facing a 30% increase in their professional indemnity insurance this year, and even more for those with bad claims histories, the Law Society has warned.

Multiple charities – including the Church of England – that claim they lost out after a senior partner stole millions from clients’ estates are suing her, her former partner, the firm and its insurer.

The Court of Appeal has upheld a ruling that a negligence claim brought by a woman against her law firm over its work on her divorce was out of time.

The average barrister only makes one notification of a possible professional negligence claim every 20 years, figures from the Bar Mutual Indemnity Fund have revealed.

The Solicitors Regulation Authority has agreed to extend by a year the use of the Solicitors Indemnity Fund to covers claims made after firms’ run-off cover expires.