Insurance rip off - slightly different this one

Originally Posted by anna

Any claim that is made against you.

doh.. i know that but Im talking invest re risk,,

Car ins covers maximum 10 million or simillar? why do they need 23k to insure that sort of figure or more?

Just interested in the figures insured?

'Cus there aren't 20 million solicitors to insure i guess.

[anna]

Limits of Indemnity vary from solicitor to solicitor but the min required by the Law society is £2m and for LLP´s it is £3m

Originally Posted by embee

When has anyone ever managed to sucessfully sue a solicitor for malpractice re. conveyancing?

Most cases settle out of court. Lenders are the most prolififc claimants, forever having a pop if they sell out of possession and there's a shortfall - they look for anything. The most usual other case is when solicitors fail to advise properly on joint ownership - ie joint tenants and tenants in common. It's easy to get right, and even easier to get wrong.

My firm is an LLP - so as Anna says, I need £3m cover per claim. It's subject to a £5K excess, last year I had £2K with an aggegate cap at £6K, but as I had no claims it didn't matter. This year they have jacked up the excess and removed the aggregate. Nice.

The result of it is that our fees will increase, I estimate by around £50 - £60 on resi cases and on hourly rated stuff by about £20 per hour, all to pay insurers whom I have never needed.

[anna]

Ed, that does sound a bit step, for them to have removed the agg caping as well doesn´t sound as if they have been working hard enough for you.

Generally as an LLP with a premium as high as your´s you should have an executive managing your file. Insurer´s also give out free risk assesments to bring your premiums lower that you should have been offered during the year.

Also just a side thought, brokers earn 15-20% fee and if the insurer´s wont budge, the brokers should at least make some peace with you by lowering their own brokerage.

My Public Liability insurance has gone up this year too.

Seems that even the insurance companys are feeling the pinch.
Cant you offset the insurance costs against your tax though Ed ?

Originally Posted by speedplay

My Public Liability insurance has gone up this year too.

Seems that even the insurance companys are feeling the pinch.
Cant you offset the insurance costs against your tax though Ed ?

Yes, I can. That's about the only good news in the whole piece

Originally Posted by Ed

Yes, I can. That's about the only good news in the whole piece

So youll offset it agaisnt your tax and get an allowance for it.
And then youll put your rates up....lawers are all the same


lol just kidding mate.
I know its all a pain in the ass.
I have never used my public liability and it pains me to see it creeping up

Update, we have just renewed. With about an hour to go

Existing insurers refused to cap the excess - £5K a go, uncapped - wow. And wanted to charge £23K for it. Well they have just lost the business.

We have obtained a NIL excess!!!! - from another insurer, premium £21K.

Me, I wish I could say I was happy having taken such a thumping on price, but I know of a number of firms that have ceased trading because they couldn't get cover at any price. So I suppose I'm pleased