Context
The FCA has published a reminder to Principal firms in relation to including their ARs under their PII policies. Professional indemnity insurance is liability insurance that covers firms when a third-party claims to have suffered a loss, usually due to professional negligence.
Key points to note
- In addition to the detail in the communication to Principal firms, this updated web page also reminds Principal firms that “…If you are a Principal firm with Appointed Representatives (ARs) you must hold compliant PII to cover the activities of your current and former ARs (including Introducer Appointed Representatives) where required to do so by our rules.”
Next actions
None – for information and awareness.