Errors and omissions insurance meaning

Axis Specialty Europe Se v Discovery Land Company Llc and other companies [2024] EWCA Civ 7 — What are the practical implications of this case? Condonation This appears to be the first time the Court of Appeal has addressed the meaning of the condonation clause in the SRA’s Minimum Terms of Cover (MTCs). Although the outcome depended on its own facts, the Court of Appeal nonetheless set out some general guidance in that context: To ‘condone’ does not demand a positive act; passive tolerance or approval of another’s wrongdoing is sufficient on its own The MTC condonation wording also embraces claims ‘directly or indirectly arising out of, or in any way involving’ dishonest or fraudulent acts, errors or omissions committed or condoned by the insured. The court stated there must therefore be a causal nexus between the condoned conduct and the claim brought against the insured However, the inclusion of the words ‘or in any way involving’ signals that the causal link can...

What is professional indemnity insurance? Professional indemnity insurance is a type of liability cover. It offers an individual professional or a firm an indemnity and protection against claims or losses resulting from negligent acts, mistakes or omissions linked to the insured professional practice. This cover usually also includes the acts, errors and omissions of former employees. In certain sectors—such as solicitors, accountants, architects, chartered surveyors, financial advisers and some healthcare professionals—holding professional indemnity insurance is a legal requirement. Nonetheless, any person or business that supplies advice, designs or services in a professional capacity should carry this insurance. The cover is generally intended to respond to client claims for damages arising in the ordinary course of the insured's professional services. These are claims brought by a client in connection with the routine delivery of the insured party’s professional services. For detailed guidance on professional indemnity insurance requirements across different professions, see Practice Notes: Professional indemnity insurance—solicitors Professional indemnity insurance—architects Professional indemnity insurance—accountants and auditors (ICAEW)...

This Practice Note outlines how a dispute progresses under the third edition of the ARIAS (UK) Rules, adopted in 2014 (the ARIAS Rules). For an introduction to ARIAS, see Practice Note: Arbitration under the ARIAS (UK) Rules 2014. Formal requirements Under ARIAS Rule 17, an award must: be set out in writing (ARIAS, rule 17.2) be in the primary language of the arbitration (ARIAS, rule 17.2) state the seat of the arbitration (ARIAS, rule 17.2) state the date of the award (ARIAS, rule 17.2) give reasons (unless the parties agree otherwise, or the tribunal issues a consent award at the parties’ request) (ARIAS, rule 17.10) be signed by the sole arbitrator, the umpire, or two of the three arbitrators, as appropriate (ARIAS, rule 17.3) The ARIAS Rules do not prescribe a time frame for when the award must be published...

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z This glossary provides helpful (re)insurance and underwriting definitions. For focused guidance on reinsurance terminology, see Practice Note: Reinsurance—essentials. A Accident An unforeseen or unintended event or incident that typically results in damage or injury (physical or financial) to the insured or a third party. Accidental damage Unintended or unexpected harm or damage caused to property or a person. Accidental death benefit Some life insurance policies pay an extra amount, over and above the original sum insured, if the insured dies because of an accident. Act of God (force majeure) An occurrence beyond anyone’s control, such as a natural disaster. Active underwriter The person with primary responsibility and authority to accept insurance and reinsurance risks on behalf of the members of a syndicate in the Lloyd’s market. See also Underwriter. Actuary A qualified professional who...

without prejudice and subject to contract The proposed [ Compensation OR Termination ] payment could attract tax deductions. This note explains the Employer’s approach to the tax and National Insurance contributions (NICs) treatment to be applied to the proposed [ Compensation OR Termination ] Payment and any other payments outlined in the draft Settlement Agreement. Capitalised terms carry the same meanings as in the draft Settlement Agreement. HMRC will ultimately determine the tax and NICs payable. Accordingly, the Employer gives no warranty and makes no representation regarding any matters set out herein. Errors and omissions are likewise excepted. You should obtain your own independent advice regarding your tax position. The legislative framework governing the taxation of termination payments includes the concept of ‘post-employment notice pay’ (PENP), which impacts the favourable tax treatment potentially available to termination payments (commonly referred to as the ‘£30,000 exemption’). Under the PENP rules, a calculation must be performed to establish a notional threshold against which the ‘relevant termination award’ (outlined below) must be assessed:...