Doing the level best

Signs that premiums levels are falling in some cases within the solicitors' professional indemnity market will do the sector no favours. Mark Shaw explains why he hopes common sense will prevail to ensure long-term profitability and stability

Solicitors' professional indemnity cover has not provided the profits some insurers anticipated. In this notoriously long-tail sector, claims are invariably springing up several years down the line and hitting insurers hard. Whether it is a slightly injured individual who has tripped or slipped and claims they were misadvised, or a major commercial client arguing that a valuable contract is lacking, every insurer knows that some solicitors' PI claims are inevitable.

Insurers must invest in claims