Every solicitors' firm makes mistakes, and PII is the mechanism that ensures clients are not left out of pocket when one causes loss. As a practising solicitor you need to know what cover your firm must carry, what it protects, and crucially when you remain personally liable despite it. This is everyday compliance knowledge that shapes how firms are structured, how they take on work, and what they must tell clients.
What this lesson covers:
- Nature, Purpose and Scope of PII — what PII is, who it protects, how 'claims-made' cover works, and who must hold it.
- Minimum Terms and Conditions (MTCs) — the regulatory floor every qualifying policy must meet, including cover levels and the liabilities covered.
- Client Protections under the MTCs — how defence costs and late notification are handled so a client's recovery stays protected.
- Adequate Cover and Limiting Liability — the separate duty to hold cover fit for the work, and the rules on limiting liability to clients.
- Run-off Cover — what happens to claims after a firm closes, and how long cover must continue.
- Personal Liability and Consequences — why liability survives insurance, how firm structure decides who pays a shortfall, and the disciplinary risks.
- Freelance Solicitor Disclosures — what freelancers must tell clients about their cover and the Compensation Fund.