The April renewal round for law firms PI saw a tipping point at which rates generally started to fall.  This process will gather pace for the October round.  Firms could be forced to wait until 2025 for price reductions unless they follow some simple processes; however;

  • Despite the general downward trend, some Insurers are cutting back on their conveyancing books, with the result that there could be Insurability and premium issues for some firms.  To counter this, it is crucial to give the underwriters more detailed information around your conveyancing processes, conveyancing client bank and the data around such aspects as the proportion of transactions with and without mortgages. That way the underwriter can justify having a reason to provide rate discounts.
  • Six solicitor Insurance providers (brokers and MGA’s) have recently been bought in what has become a feeding frenzy in the Insurance sector as private equity backed consolidators expand. There will be a vacuum as the integration processes play out, people leave, and those remaining are distracted. Service levels will drop and timelines will be missed, so it is imperative that you have some firm ground rules with your existing provider if they are one of these entities.
  • Some of the new capacity providers who have entered the market have already reached capacity and therefore will be looking to lapse some of their under performing risks this year  to free up space to write better, more profitable risks. The new capacity is not indefinite however, and given another 12 months, there is potential that rate reductions will slow

If you would like advice as to how to take advantage of changing market circumstances please reach out to us on info@qualitypi.co.uk

QPI – Quality, Professionalism and Integrity.