RICS has launched new guidance for members on risk, liability and insurance, following the changes to its professional indemnity insurance (PII) minimum policy wording to help protect surveyors from fire safety risks. Brunel reported on the changes to the minimum wording here.
Following the Grenfell Tower fire in 2017, chartered surveyors have found it increasing difficult to secure PII to cover fire safety, with many risks excluded by policies. The new wording prevents insurers from excluding fire safety claims on properties with four storeys or fewer. The minimum fire safety cover is provided on an aggregate basis inclusive of defence costs.
The RICS’ new ‘risk, liability and insurance’ guidance note is designed to help members manage and understand the continuing risks facing their practices and to help them manage and limit liability.
Hugh Garnett, RICS Senior Policy Specialist said: “The change in minimum terms will provide a welcome relief to chartered surveyors who have been unable to obtain fire safety cover and will mean that firms renewing their PII policies from 1st May will have greater fire safety coverage.”
The RICS’ new ‘risk, liability and insurance’ guidance note is designed to help members manage and understand the continuing risks facing their practices and to help them manage and limit liability. It covers topics including liability caps, third party reliance, terms of engagement and professional indemnity insurance.
James Burgoyne, Divisional Director – Claims & Technical of Brunel Professions says: “RICS has produced a really helpful and constructive guidance note which will help practitioners reduce and manage the risks facing their practices. It develops recommendations RICS made in the heart of the ‘confetti letter’ period that surveyors and valuers should pay closer attention to the terms on which they contract.”
Brunel provides a wide range of Professional Indemnity Insurance broking services to property professionals, including reviewing contracts from the liability and PII coverage perspective. Click here to find out more, or call Mark Sommariva on 0203 475 3275.