Professional indemnity insurance: solicitors

The terms of insurance policies to be taken out by solicitors are laid down in the “Minimum Terms and Conditions” approved under the Solicitors’ Indemnity Insurance Rules. Those Rules permit an exclusion for trading losses. The distinction between professional indemnity and trading losses has been clarified by the Supreme Court in Impact Funding Solutions Ltd v AIG Europe Insurance Ltd [2016] UKSC 57, overturning the decision of the Court of Appeal, [2015] EWCA Civ 31.

Impact Funding : the funding arrangements