Tenet has launched a more "affordable" professional indemnity (PI) insurance scheme for directly authorised members, one month after the financial regulator published a review criticising some areas of the PI market.
Tenet's new scheme will be delivered in conjunction with Lloyds-registered insurance broker Protean Risk and offer advisers "high quality insurance with realistic excess levels at affordable premiums", the firm said.
Director Mike O'Brien (pictured) said: "At a time when a worrying number of advisers are struggling to obtain satisfactory cover - or indeed any cover at all due to insurers hiking excesses, expanding exclusions to unreasonable levels and increasing premiums exponentially - we have addressed the issue by negotiating preferential terms for TenetSelect customers"
He added: "We have put together a package that delivers what we believe is among the broadest levels of cover available in the directly authorised market, with fairer terms and sensible excesses."
Under the terms, firms who buy more extensive services from TenetSelect, Tenet's support services arm, will be considered "lower-risk" and enjoy greater discounts on their PI insurance.
In December, the Financial Conduct Authority (FCA) published a market-wide review in which it found "clear non-compliance" from PI insurers. The regulator said a number of policies contained exclusion clauses that gave it "significant concerns".
The review followed comments made by FCA chief executive Andrew Bailey in November, when he said PII was not performing the role it should be for advisers. He said PI cover should be the ‘front-stop' for advisers - as it is for lawyers and other professions - but argued this was typically not the case.
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