A new clause making it clear what cover will be provided for cyber losses will be added to the minimum terms and conditions of law firms’ professional indemnity insurance (PII) policies. We have drawn up the addition working closely with both the legal profession and insurers, and it has been submitted to the Legal Services Board (LSB) for final approval. If agreed, it should be in place for any insurance renewals from early 2022 onwards. We proposed the additional clause following the Prudential Regulation Authority and Lloyd’s of London asking insurers across the UK to make sure they focus on losses arising from cybercrime in all policies, including those written for law firms. The clause means insurance policies will explicitly mention cover for cybercrime and specify what losses fall within scope for a potential claim. The cover is for client and third-party protection – losses to the law firm (first-party losses), except for certain costs of investigating and defending a claim, are not covered. Firms can choose to purchase a separate cyber policy for other risks. We ran a public consultation over the summer on the addition of the new clause, followed by further discussions with insurer representatives and the Law Society based on the feedback received. - [Read More]

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Chanakya Drishti is an initiative of "Sons & Friends of India" a registered Trust.Today when the world is on the brink of another world war it is only the Indian_philosophy and Indian thinking that holds key to peace.Legal magazine,Kanooni Patrika. - [Read More]

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