Professional indemnity insurance (PII), is compulsory for all members of ICAEW who have a practising certificate and are engaged in public practice. PII is a requirement of a number of regulations.
The regulations relating to audit, insolvency, investment business (the DPB Handbook) and the eligibility requirements for a practising certificate (PC) all require members and firms to comply with ICAEW's PII regulations. The PII regulations give details of the amount of insurance required, insurers and the policy wording insurers must use.
Practising without PII is regarded as a very serious matter.
Disclosure of information about your PII
Under the requirements of the Provision of Services Regulations you have to disclose information about your PII to clients. See our Services Directive helpsheet (PDF 116KB/8 pages) for further information.
Can I obtain PII from any insurer?
PII - exclusive for members
Bluefin has created an enhanced professional indemnity facility exclusively for ICAEW members.
View PII offer
You must obtain the insurance required by the PII regulations from a participating insurer (PDF 438KB/23 pages). These insurers have agreed to meet the requirements of ICAEW's minimum approved policy wording. The fact that an insurer is on the list does not imply that ICAEW has performed independent checks on the insurer's suitability.
What do I have to tell ICAEW about my PII?
We send all PC holders (or their firms) an annual return approximately one month before your PII renewal date. The PII section in the annual return asks for information about your PII.
What if my firm is unable to obtain PII?
If your firm is unable to obtain PII in the insurance market, it can apply to enter the assigned risks pool for 'emergency' cover for a period of up to two years so that it can continue to practise. Chapter 4 of the PII regulations sets out the procedures for firm or members who cannot obtain cover in the market place.
Do I need PII after I have ceased to practise?
You must use your best endeavours to ensure you are covered by arrangements which comply with the Institute's PII regulations for at least 24 months after you cease to practise (regulation 2.7). A similar requirement is placed on firms that cease to practise (regulation 2.8).
Do I need PII if I do not engage in public practice?
If you hold a PC but do not engage in public practice, you do not need PII. If you decide to return to practice, you will require PII immediately and should inform the members' registrar that you have returned to practice.
Contact us
T +44 (0)1908 248 250
E pii@icaew.com