Professional Indemnity Insurance (PII)

Published March 9, 2022

Professional Indemnity Insurance (PII) premiums are increasing at an alarming rate and we have clients whose premiums have increased by up to 40% depending on the sector.

Despite the increase, PII is essential for the legal profession because it enables companies to trade and is one of the largest annual expenses.

The formal renewal date for PII is October 1st. Although the Solicitors Regulation Authority has been moving away from a single renewal date. As a result, many law firms now renew on April 1st.

As renewal premiums continue to climb, some insurers are now asking solicitors for personal guarantees. Therefore, protecting the insurance company, should the legal firm become insolvent.


Jason Butcher is an experienced client director dealing with professional risks at J.M. Glendenning Insurance Brokers.  He is optimistic that rate increases will begin to stabilise.

He explained: “The past couple of years have seen some of the toughest ever market conditions for Solicitors PII. The majority of law firms have had to face significant premium increases and with insurers reducing their appetites for new business. It meant that there was often a lack of competitive alternative.

“As we now head towards the 1st April PII renewal season, there are some welcome signs that the market is starting to ease. We are not quite at the stage where rate increases are about to disappear but we are seeing that they are less harsh than in the previous few years.

“There does also seem to be some renewed appetite for new business amongst insurers. Including the availability of 18-month deals again with a limited number of insurers. Whilst the individual risk factors of each firm (such as claims performance) will determine the response, there does appear to be a cautious optimism about the market.

“In these times, it remains important to utilise the services of a good Broker that represents your best interests at all times. Driving the best possible deal with both your existing insurer and any potential alternatives ensuring that money is not left on the table in renewal negotiations.”


We have seen a surge in the number of businesses enquiring about instalment plans for premiums. There are several advantages of using funding to cover your PII bill, for instance:

  • Unsecured funding for insurance policy and/or practicing certificates
  • Flexible repayment terms up to the period of insurance
  • We can pay your insurer directly
  • Spread the cost of repayments over six to 18 months
  • Keep capital and stabilise cash flow
  • Borrow up to £150,000 without guarantees
  • Dedicated account manager
  • Fixed interest rates and costs


We have a dedicated PII finance facility. This allows you to fund your premium in easy instalments over the term of the policy.

We have assisted thousands of legal firms with Professional Indemnity Insurance funding. As a broker, we have access to a wide range of funders. As a result it enables us to offer some of the most competitive rates on the market.



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