PII premium pot “could hit” £300m as SRA study recommends insurance reform
The escalating cost of professional indemnity insurance may mean the total premium pot for solicitors approaches £300m this year, the first time it will have exceeded the last contribution to the Solicitors Indemnity Fund, a leading broker has predicted. The news comes as a report on PII commissioned by the Solicitors Regulation Authority recommended a range of reforms to the scheme, including removing the minimum terms and conditions in relation to commercial clients, ending the single renewal date and no longer requiring insurers to cover firms that have not paid their premiums.
Kenny backs aptitude testing and hits out at using ethics as “wall of exclusivity”
Legal Services Board chief executive Chris Kenny has spoken out in favour of the “holy grail” of diversity neutral aptitude testing across legal careers. Addressing a legal education conference at Harvard University in America – one of the first times the LSB has seriously addressed its role in legal education – Mr Kenny also hit out at lawyers who see their ethical training as creating “a wall of professional exclusivity”.
PII renewal: "substantial" rises, short acceptance deadlines and variable quotes
Solicitors have generally seen a “substantial increase” in their professional indemnity insurance (PII) premiums this year, the Law Society has reported. The society’s PII helpline also received complaints about short deadlines to accept quotes, variable quotes from the same insurer and brokers being “less than truthful” with solicitors.
Edmonds calls for SRA flexibility on pre-ABS deals with investors to level playing field
The chairman of the Legal Services Board has called on the Solicitors Regulation Authority (SRA) to be more flexible in its approach to law firms which are looking to do deals with external investors before alternative business structures (ABSs) become a reality on 6 October 2011. In a major speech, David Edmonds also suggested that the rules which prevent solicitors having unregulated separate businesses carrying out unreserved legal work are anti-competitive.
Standard contractual terms for solicitors instructing barristers delayed again
The introduction of controversial new standard contractual terms for solicitors instructing barristers has been further delayed by confusion over the split of responsibilities between the Bar Council and Bar Standards Board, Legal Futures can reveal. The BSB also has a new director and has formally launched its chambers monitoring scheme.
Falconer returns to Labour frontbench
Former Lord Chancellor Lord Falconer has returned to frontline politics by speaking for the Labour Party in the House of Lords. The architect of the Legal Services Act and arch Blairite is being joined on the frontbench by former legal aid minister Lord Bach, while the make-up and briefs of the Commons team have also been settled.
SRA says ABSs are likely to prove good news for solicitors and consumers alike
There is real potential for alternative business structures (ABSs) to have a positive impact on both the profession and consumers, the Solicitors Regulation Authority has said. The provisional conclusions of an equality impact assessment said solicitors would benefit from improved employment opportunities, while ABSs would facilitate improved access to legal services for consumers.
India outsourcer sets up in Manchester as LPO focus shifts to PI and conveyancing
Indian outsourcing company Mangalam Information Technologies has set up an office in Manchester as it explores the opportunities for legal process outsourcing (LPO) in the UK, including “low hanging fruits” such as personal injury (PI) and conveyancing work. It comes as UK-based LPO providers estimated that they could reduce transactional costs in PI by up to 30%.
Are the Aussies coming? World’s first listed law firm eyes up UK market
Australian law firm Slater & Gordon – the first in the world to go public – is keeping a close eye on developments in England and Wales and would consider entering the market, its managing director has revealed. Andrew Grech also gave an insight into the lengthy process they went through to float.
Over half of firms have lost or expect to lose work to non-lawyer competitors, says survey
Over half of all law firms have either lost business to a non-lawyer competitor or expect to in the future, a new survey from accountants Baker Tilly has revealed. Some 29% of firms with 25 partners or fewer had already lost business to a non-lawyer competitor, compared to 12% of larger practices.
