Size matters – when it comes to indemnity insurance premiums at least
Size, claims record and changes to the number of fee-earners are the factors that influence law firms’ professional indemnity insurance premiums, not practice area or ethnicity, Law Society research has found. A review of the 2010 renewal season found that smaller firms found their premiums going up the most, as did those with a claims history in the previous 12 months.
Barristers and solicitors continue battle over role of judges in advocacy assessments
The Bar has launched a last-ditch bid to focus the criminal advocates’ quality assurance scheme on judicial evaluation and steer it away from the alternative assessment centre route favoured by solicitors. Despite lobbying from solicitor groups, the SRA has confirmed its support for the scheme.
Claims management companies see income soar to £581m
The turnover of claims management companies (CMC) soared by 57% to £581m over the past year, despite a ten-fold increase in the number of businesses having their authorisation cancelled, their regulator has reported.
Saga markets probate service with dig at lawyers “exploiting bereaved people”
Some lawyers and financial advisers may be exploiting bereaved families by overcharging for probate, over-50s organisation Saga has suggested – pointing consumers to its own, cheaper, legal services arm instead. It says it will charge 1% of the estate, compared to up to 5% by other providers.
“Overpaid” PI lawyers could make a living on much lower fees, MPs told
Lawyers are overpaid for cases run through the road traffic accident claims portal and should be able to make a living from a far lower level of fee, MPs were told last week. Nick Starling from the Association of British Insurers suggested that if referral fees were banned, the £1,200 solicitors receive for portal cases could be reduced substantially.
Second will-writer body bids to regulate sector
The Society of Will Writers has become the second trade body to announce its bid to regulate the profession if required. After the Legal Services Consumer Panel said will-writing should be regulated, the society said a system could be introduced “very quickly and cheaply with the profession bearing the bulk of the cost”.
Exclusive: SRA will not start regulating ABSs on 6 October
The Solicitors Regulation Authority will not be able to start regulating alternative business structures on 6 October, Legal Futures can reveal. Further, the question of whether prospective non-lawyer investors in ABSs will have to reveal all convictions, even if they are spent, remains unresolved and could stop the SRA licensing ABSs with external ownership.
LeO says confusion over unregulated providers leaves consumers unprotected
The confused system of regulation for legal services risks leaving consumers without protection when things go wrong, especially with unregulated businesses “masquerading as traditional law firms, branded with more legal wigs and gowns than you can shake a quill pen at”, the Legal Ombudsman has warned.
RSA relaunches into legal indemnity market
RSA, the UK’s second largest insurer, has today relaunched into the legal indemnity market. Working with independent broker Litigation Protection, RSA will underwrite a wide range of legal indemnity insurance products, including providing delegated authority to law firms on 19 products for residential, agricultural and commercial properties with cover of up to £3m.
BME solicitors still face disproportionate amount of regulatory action, SRA admits
Black and minority ethnic solicitors continue to figure in a disproportionate number of regulatory actions, the Solicitors Regulation Authority has admitted. It is occuring across key areas such as interventions, referrals to the Solicitors Disciplinary Tribunal and the imposition of practising certificate conditions.
