Price Hike

I am a sole practitioner.

In common with numerous other practitioners, no doubt, I have been assailed by insurance brokers seeking to arrange my professional indemnity insurance for the coming year.

Amongst these was St Paul Insurance Company Ltd, which is the Law Society's recommended insurer.

I have received two quotes, to date, from other brokers and recently received a quote from St Paul.

I was dumfounded to find that St Paul is quoting no less than 3.5 times as much as each of the other two quotations.

Furthermore, St Paul's quotation is some 9,000 more than my last year's premium to the SIF.

John Llewelyn, Howard Llewelyn and Company, Brecon, Powys

In response

The Law Society's avowed intent is to create a truly open market allowing the profession to choose from a number of providers according to their individual requirements.

It is clear from the comments the Gazette has received that this objective has been achieved.

The St Paul is not 'preferred' by the Law Society but is one of a number of companies which have achieved 'qualifying insurer' status under Law Society rules.We have used our underwriting and actuarial skills and experience to calculate premiums which are both realistic and sustainable, and will enable us to provide a high quality service to the profession over the long term.

Our pricing takes into account a whole series of risk factors including the type of work undertaken, claims record and fee income.

We welcome dialogue with firms that believe we have not fully understood their circumstances and, in many cases, have been able to offer a reduction in premium.

Law firms should be advised against basing their purchase decisions on price alone - they should also take in account, for instance, the quality of claims service and risk management support provided.

We have entered this market with great enthusiasm and commitment and are confident that our combination of superior service and sensible pricing will, in the long term, make us the only reasonable choice for solicitors' professional indemnity.

Paul Cusition, general manager, St Paul, London Market