Accountants PI presentation for ICAS

1. Professional Indemnity – Don’t let it be costly
Guide to best practice and how it can impact your professional indemnity
Janette Redding
Service Delivery Director
Aon Risk Solutions
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

2. 2
What is Professional Indemnity Insurance?
 Policy designed to cover ‘Breach of Duty’ by reason of negligent act, error or
omission in relation to a third party suffering a financial loss
 Provides protection for the practice against claims brought against you by a
client due to problems with the work you have undertaken for them whilst
conducting your professional business
 Protects your business and your clients
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

3. 3
ICAS
Minimum
Terms
Retroactive
cover for
previous 5
years
Firms >£600k
minimum
indemnity limit
£1.5m
Firms <£600k
2.5 times fee
income
Ensure
minimum
cover
adequate
Excess must
not exceed
£30k per
principle or
sole
practitioner
Further 4
years run off
cover when
whole firm
ceases
24 months run
off cover
retiring
principle
Select a
Qualifying
insurer
Professional Indemnity Policy cover – ICAS Minimum Terms
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

4. 4
PI
Policy
Cover
Civil Liability
Defence Costs
Disciplinary
Defence
Hearings
Innocent Non
Disclosure
Retroactive
Dates
Helpline
Compensation
for court costs
Professional Indemnity Policy cover – What to look for
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

5. 5
Managing Risk
Keep you PI Insurer informed
Material Facts
Engagement Letters
Complaints Process
Notification process – full buy in from all partners and
employees
Client Due Diligence
Ensure sufficient limit of indemnity
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

6. 6
Aon
 2012 Broker of the year*
 Specialist Professional Indemnity Broker:
- Scheme for Accountants in place since 1990
- Work with Big 4 to sole practitioners
 Exclusive products for PI, Office, Motor designed with the accountancy
profession in mind
 Client Centric process
-Short Proposal Forms for <£400k turnover
- Renewal Declarations agreed for existing clients who meet agreed
criteria
- Direct debit and interest free instalments
*Insurance Times Awards 2012
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

7. 7
Aon
 Support and advice when you need it:
- Advice on Cover throughout the year not just at renewal
- Claims – specialist fully qualified lawyers to assist in the event of a
claim or potential issue
Strong relationship with ICAS as preferred PI partner, bringing together two
organisations to support the accountancy industry
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13

8. 8
Contact Details
Janette Redding
Service Delivery Director
Aon Professional Services
01268 578325
janette.redding@aon.co.uk
Aon UK Limited is authorised and regulated by the Financial Conduct Authority
FP8102.05.13