You are here:
  1. Home
  2. Advice
  3. Articles
  4. When do in-house lawyers need PII?

When do in-house lawyers need PII?

21 October 2011

The practice framework rules allow in-house lawyers to act for clients other than employers in certain circumstances. Depending on the circumstances you may need to have professional indemnity insurance (PII) in place.

Under the practice framework rules you must have PII cover to act for a client other than your employer relating to:

  • pro bono work (4.10),
  • commercial legal advice services (4.14)
  • law centres, charities and other non-commercial advice services ( 4.16), and
  • foreign law firms (4.19)

This cover should be reasonably equivalent to that required under the Solicitors Regulation Authority Indemnity Insurance Rules. You will also need to meet other criteria.

In all other cases you must consider whether your employer has appropriate indemnity insurance or funds to meet any award made as a result of a claim in professional negligence against you, for which your employer might be vicariously liable. If not, you must inform the client in writing that you are not covered by the compulsory insurance scheme.

Rules regarding when you can act for clients other than your employer have changed in light of the Legal Services Act 2007. Please see our FAQs for more information about providing pro bono work when working in-house.