PI reform part 1: Large firms don't need PI, suggests FSA

Smaller IFAs may be able to obtain cheaper PI cover in the future if firms with turnover of £10m or more are not required to have PI cover, according to the FSA's proposals for changes to the PI market. Ideas laid out in CP169 - Professional Indemnity Insurance for personal investment firms - for the long-term reform of PII suggest the market would be able to offer better insurance rates to smaller IFA firms if those with turnover of £10m or more pay for any liabilities from their assets, rather than take out PI insurance. This would be a huge reduction of the market capitalizatio...