Here at Vantage Professional Risks, we offer comprehensive policies to cover insurance brokers.
It is fair to say that not all insurance brokers are specialists in professional indemnity insurance (PI) and it is the general consensus that a broker, regardless of their expertise in the class, should not undertake the placement of their own PI cover directly.
Insurance brokers vary dramatically in size and services, from small sole practitioners through to multinational publicly quoted Lloyd’s brokers and the needs and requirements of each differ greatly too based on their size and the type of work they do.
The Financial Conduct Authority (FCA) requires that all insurance brokers carry PI cover to a minimum level however this may not always be suitable for their needs as the minimum limits of indemnity are only a benchmark. It is therefore important that the exposures are correctly considered in line with the type of work undertaken. Brokers undertaking large or complex placements will undoubtedly require a larger limit of indemnity and those brokers undertaking placement of behalf of overseas or multinational clients need to ensure their cover provides the correct protection.