May I correct some misapprehensions in the article 'Covering your back' by Aon (see [2007] Gazette, 20 September, 12) and subsequent correspondence.


Neither the Solicitors Regulation Authority (SRA) nor the Law Society maintains a list of 'approved' insurers for the provision of solicitors' compulsory professional indemnity insurance. The SRA maintains a list of 'Qualifying Insurers'. A Qualifying Insurer (QI) is one which is authorised by the Financial Services Authority (FSA) or other EU authority to carry on the relevant class of insurance business in the UK, and which has signed the 'Qualifying Insurer's Agreement' with the Law Society acting through the SRA. Under that agreement, the QI undertakes, among other things, to offer policies which are subject to the Law Society's Minimum Terms and Conditions, to support the assigned risks pool, and to participate in certain exchanges of information and dispute resolution procedures.



The SRA satisfies itself from lists published by the FSA that an insurer which wishes to become a QI is an authorised insurer. We have neither the means nor the powers to enquire any further. The choice of QI as a provider of compulsory professional indemnity insurance is entirely a matter for each solicitor, or each firm, uninfluenced by the SRA.



It is incorrect to say ('Trouble Indemnity' [2007] Gazette, 11 October, 15) that no QI has become insolvent. The Independent Insurance Company became insolvent and ceased business while it was a QI in 2000/01. Fortunately, the solicitors insured with it had no difficulty in finding replacement cover.



Finally, it is wrong to say ('Inadequate Cover' [2007] Gazette, 18 October, 14), that inadequate professional service awards for losses caused by negligence are not covered by indemnity insurance. Such awards are covered and this has been the case throughout the period of open market cover. The relevant clause is now 1.8 of the 2007 Minimum Terms and Conditions.



Andrew Long, chairman, financial protection committee, Solicitors Regulation Authority