Elite Insurance Company has decided not to enter the professional indemnity (PI) insurance market as initially planned.
The company said its decision was solely based on the lack of what it sees as essential changes to the Assigned Risks Pool (ARP) and the rules governing policy wording.
Elite said the latest cash call by the ARP, in the region of £38m has led to an even greater hardening of reinsurance rates in the solicitors’ PI market.
The company argues that new entrants are therefore finding it extremely difficult to secure adequate reinsurance arrangements thus limiting their capacity to take on volume business and as a result, the profitability and viability of their ventures.
Furthermore, the issues relating to policy wording are not due to be addressed until 2013, Elite said.
“We consider this and the recent status quo of the ARP to be a missed opportunity which would otherwise create a vibrant, sensible and competitive market for all concerned,” said Elite chief executive Barbara Bock in a statement.
Hosted by comedian and actor Tom Allen, 34 Gold, 23 Silver and 22 Bronze awards were handed out across an amazing 34 categories recognising brilliance and innovation right across the breadth of UK general insurance.
No comments yet