EDITORIAL

The vast majority of firms heeded calls to getcovered.

Officially, only about 40 entered the assigned risk pool voluntarily

It always pays to shop around

The first day of September has arrived and in terms of professional indemnity insurance the sky has not fallen in.

Indeed, as our survey this week illustrates, it would appear that many solicitors' firms are benefiting from the move away from mutuality to the market.It was a small sample, but the results show that many law firms are paying between 40% to 50% less in indemnity insurance premiums than they were a year ago under the Solicitors Indemnity Fund.

It appears that the vast majority of firms heeded calls to get covered.

Officially, only about 40 entered the assigned risk pool voluntarily.

But any glee might have to be tempered.

The true figures on the number of firms in the pool will not be known until practising certificates are renewed at the end of the year.

And there are some suggestions that insurance companies are treating the first year as a loss leader, engaging in aggressive pricing strategies to win the business.

There might be a sting in the tail next year or whenever the insurance market hardens.

The overriding message to law firms is twofold: they must manage risk more adroitly than ever before; and they must remember that while they may well have landed a good deal today, there might still be a need to shop around for the best deal next year.

And to get the best deal, that process of shopping needs to begin well in advance of next year's deadline.