Lockton Companies LLP
3 Contributions by Lockton Companies LLP
PRACTICE NOTES
Completing a Professional Indemnity Insurance (PII) proposal form is a time‑consuming exercise and demands assembling a large volume of information about your practice. On its own, though, it may not give you an adequate platform to present your firm to the market.
Considering that PII often ranks among your largest single expenses, there are times when producing a compelling presentation for insurers more than repays the time invested. This Practice Note explores whether you should include a risk management submission within your renewal presentation and its likely contents.
Should you include a risk management submission?
You should consider adding a risk management submission to your renewal if your practice:
has a poor or below‑average claims record (by number and/or value of claims)
has recently completed, or is about to undertake, a restructure or merger
has seen a recent shift in risk profile, eg adding new
Practice Compliance
PRACTICE NOTES
The terms in your PII policy may place continuing duties to report specific facts, matters or changes affecting your practice. It is also considered good practice to advise on other issues to help sustain a positive relationship with your insurer. Policy provisions differ, but this Practice Note sets out the essentials and core points. The matters covered here are not exhaustive, and you may prefer to speak with your broker or insurer about particular circumstances or facts. It is crucial to make sure your insurer has a clear understanding of the risk they are underwriting. You should foster a healthy working relationship with your insurer to help them build this picture.
Claims or circumstances
Your insurance requires you to disclose any claims or potential claims (circumstances) at the earliest opportunity (as soon as possible). Failure to do so may prejudice your cover. Notifying
Practice Compliance
PRECEDENTS
1 Submission details
[ Provide organisation name ]
[ Provide date ]
2 Executive summary
[ Provide a compelling overview that cites central aspects within this risk management submission ]
3 Overview of [ insert firm name ]
[ Describe the organisation’s history—its roots, progress, and direction: where has it come from, and what next? ]...
Practice Compliance
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