LONMAR Barristers PI Professional Indemnity Insurance

Policy Wording

Terms and Conditions

Except as contained herein, this Certificate is on the same terms and conditions (excluding the premium, jurisdiction and the Rules governing Run-Off cover for Retired Barristers) as the Fund administered by the Bar Mutual Indemnity Fund Limited or renewal thereof.
Limit of Indemnity

The Underwriters hereunder shall be liable for claims not exceeding the amount stated in the Schedule for any one claim any one Insured in excess of the Underlying Limits.
Underlying Limits

Any one claim any one Insured as provided under the Fund administered by Bar Mutual Indemnity Fund Limited and as stated in the Schedule.
Ultimate Net Loss

The Underwriters shall only be liable for an amount representing the excess over the Underlying Limits on an Ultimate Net Loss basis which shall mean the sum payable by the Insured in settlement of loss or liability after making deductions for all recoveries all salvages and all collectible claims upon other insurances (other than the Fund administered by Bar Mutual Indemnity Fund Limited) but shall exclude costs and expenses payable under the Fund administered by Bar Mutual Indemnity Fund Limited where costs and expenses are paid in addition to the Limit of Indemnity and include costs and expenses payable under the Fund administered by Bar Mutual Indemnity Fund Limited where costs and expenses are included within the Limit of Indemnity.

All salvages recoveries or payments recovered or received subsequent to a settlement under this Certificate shall be applied as if recovered or received prior to the aforesaid settlement and all necessary adjustments shall be made by the parties hereto. Provided always that nothing in this paragraph shall be construed to mean loss or liability under this Certificate is not recoverable until the Insured’s Ultimate Net Loss has been ascertained.
Costs

Should loss or liability arise to which Underwriters may be liable to contribute, no costs and expenses shall be incurred on their behalf without their consent being first obtained (such consent not to be unreasonably withheld) and where costs and expenses are paid in addition to the Limit of Indemnity hereunder if they so consent they shall contribute to the said costs and expenses in the proportion that their share of the loss or liability as finally settled bears to the total sum payable. If, however, a settlement of the loss or liability be practicable prior to taking the case into Court whether by compromise or otherwise for a sum not exceeding the Underlying Limits no such costs and expenses shall be payable by Underwriters hereon.

Notwithstanding the above, if Underwriters hereon shall incur costs and expenses on their own behalf then such costs and expenses shall be payable in full by Underwriters. No settlement of loss or liability by agreement shall be effected by the Insured for a sum in excess of the Underlying Limits without the prior consent of Underwriters.

If Bar Mutual Indemnity Fund Limited shall not be liable for costs and expenses because they have invoked a right under the Fund administered by Bar Mutual Indemnity Fund Limited to pay the Limit of Indemnity thereunder and only be liable for costs and expenses incurred up to the limit of such payment then Underwriters under this Certificate shall be liable for that proportion of the costs and expenses for which the Bar Mutual Indemnity Fund Limited would have been liable had they not invoked their right.

Provided Underwriters shall not be liable for such costs and expenses unless they shall have been incurred with their consent (such consent not to be unreasonably withheld).
Period of Insurance

This insurance only relates to one ‘Period of Insurance’ as defined in the Bar Mutual Indemnity Terms of Cover 2009 (or any amended version relevant to the period of this insurance) and shall be for the same period as the underlying ‘Period of Insurance’.
Notification

In the event of any claim or claims made against the Insured (or of any circumstances of which the Insured becomes aware during the subsistence hereof which are likely to give rise to any such claim or claims) which is likely to exceed GBP 500,000 part of the Underlying Limits, immediate notification of such claim or claims shall be given to Underwriters hereunder who shall have the right under this Certificate to consult with the Bar Mutual Indemnity Fund Limited in connection with settlements under the Fund administered by Bar Mutual Indemnity Fund Limited.
Non Avoidance

Underwriters will not seek to avoid repudiate or rescind this Certificate upon any grounds whatsoever except in circumstances where before the inception or renewal of this Certificate the Insured has fraudulently failed to disclose and/or fraudulently misrepresented circumstances which might give rise to a claim or claims.
Definition of Insured

The Insured shall be as defined in the Bar Mutual Indemnity Terms of Cover 2009 (or any amended version relevant to the period of this insurance).
Run-Off Insurance for Retired Barristers

Should an Insured Barrister cease to practice during the Period of Insurance (whether because of death, retirement, appointment or any other reason) the insurance provided hereunder shall automatically provide Run-Off professional indemnity insurance until the expiry of this Certificate. Where a Run-Off Date appears in the Schedule hereon, this insurance will cover claims made against the Insured during the Period of Insurance stated in the Schedule arising out of work performed by the Insured prior to the Run-Off Date.
Directors & Officers Exclusion

Underwriters shall not be liable for claims arising out of the Insured’s capacity as a Director or Officer of any company or organisation.
North American Exposures Conditions

The following additional terms shall apply to claims made and suits brought against the Insured in a court of the United States of America its territories and possessions or Canada.
1. Clause 2, “Limit of Indemnity” is cancelled and the section headed Limit of Indemnity in the Schedule is deleted and the following substituted
  
  Limit of Indemnity
  
  The liability of the Underwriters for
  1. damages and claimant’s costs and expenses and
  2. all other costs and expenses incurred by the Underwriters or by the Insured with the Underwriters’ written consent
  arising out of all claims notified during the Period of Insurance shall not exceed in the aggregate the Limit of Indemnity stated in the Schedule.”
2. The paragraph headed “Costs” is cancelled.
3. Underwriters shall not be liable to indemnify the Insured against any claim or claims based upon or arising out of or relating directly or indirectly to or in consequence of or in any way involving
  1. seepage pollution or contamination of any kind
  2. any actual or alleged violation of any responsibilities obligations or duties imposed by the Employee Retirement Income Security Act of 1974 or any amendment thereof
  3. any actual or alleged violation of any provisions of the Securities Exchange Act 1934 or any similar federal or state law or any common law relating thereto
  4. any actual or alleged violation of the Racketeer Influenced and Corrupt Organisations Act 18 USC Section 1961 et seq and any amendments thereto or any Rules or Regulations promulgated thereunder
4. It is agreed that the Limits of the Fund administered by Bar Mutual Indemnity Fund Limited may only provide aggregate costs inclusive Limits.
5. If by reason of the payment of any claim or claims by the Underwriters of any underlying certificate during the Period of Insurance, the amount of indemnity provided by such underlying certificate is:-
  1. partially reduced, then this Certificate shall apply in excess of the reduced amount of the underlying certificate for the remainder of the Period of Insurance
  2. totally exhausted, then this Certificate shall continue in force as underlying certificate until expiry hereof.
Non Legal Services Extension

Notwithstanding the definition of ‘Legal Services’ in the Bar Mutual Indemnity Fund Rules, this certificate is extended to indemnify the Insured against any claim made against them arising from;
1. Clause 2. above headed “Limit of Indemnity” is cancelled and the section headed Limit of Indemnity in the Schedule is deleted and the following substituted
  
  "Limit of Indemnity"
  
  The liability of the Underwriters for
  1. damages and claimant’s costs and expenses and
  2. all other costs and expenses incurred by the Underwriters or by the Insured with the Underwriters’ written consent
  arising out of all claims notified during the Period of Insurance under this extension shall not exceed in the aggregate GBP 250,000.
2. The Insured shall be required to pay the first GBP 500 of each and every claim made under this extension.
3. The paragraph headed “Costs” is cancelled.