Professional Indemnity: the harshest of markets
Lecture
Publication date:
09 March 2021
Last updated:
18 December 2023
Author(s):
Dr Matthew Connell, Director, Policy and Public Affairs, Chartered Insurance Institute
In this Insurance Institute of London (IIL) financial services webinar, Matthew Connell, Director, Policy and Public Affairs, Chartered Insurance Institute, examined developments in the professional indemnity market, and what this tells about compulsory insurance as a regulatory tool.
Professional Indemnity requirements for regulated professionals have been standard for decades. They are a way of applying private sector standards of risk mitigation for regulated professionals as an additional line of defence, protecting statutory compensation schemes. However, recent developments in the market for financial advisers have raised serious questions over whether this approach to regulation delivers good outcomes for consumers.
This seminar examined whether professional indemnity insurance is still a useful regulatory tool, or if radical change is needed to provide the best consumer outcomes in future.
By the end of this webinar members would have gained an insight into:
- Why regulators rely on compulsory professional indemnity insurance
- How the market has developed, especially in relation to financial advisers
- How the system could be reformed in future
Duration: 55 minutes
This document is believed to be accurate but is not intended as a basis of knowledge upon which advice can be given. Neither the author (personal or corporate), the CII group, local institute or Society, or any of the officers or employees of those organisations accept any responsibility for any loss occasioned to any person acting or refraining from action as a result of the data or opinions included in this material. Opinions expressed are those of the author or authors and not necessarily those of the CII group, local institutes, or Societies.