What do you need to do now if your firm is insured by Enterprise Insurance?
Solicitors professional indemnity insurer, Enterprise Insurance, has been declared insolvent and is no longer writing new insurance contracts.
The SRA is now contacting affected firms directly.
- Firms will need to have new professional indemnity insurance in place with fresh insurers before 22 August 2016.
- The SRA expects affected firms to also keep their clients up to date with developments.
The SRA will be asking Enterprise to keep firms with claims informed to explain the situation and how the liquidation process might affect current claims.
What does this mean for you?
Firms currently insured with Enterprise are required to obtain new qualifying insurance as soon as reasonably practicable and in any event before 22 August 2016.
We understand that this may not be as easy as just picking up the phone to your brokers. In some circumstance, firms may not be able to either obtain or fund new indemnity insurance cover. Firms may now be pressed to merge, restructure or achieve a managed practice wind down in order to avoid a Regulatory Intervention.