Freelance Solicitors Professional Indemnity Insurance Market Overview
Updated for 2025
Since the SRA rule changes in late 2019, a new route for self-employed solicitors was introduced under the title of Freelance Solicitor. This allows solicitors to practice on their own account without needing to set up a traditional law firm, provided certain criteria are met.
At the same time, the professional indemnity (PI) insurance market was facing significant challenges. A thematic review by Lloyd’s of London—which has historically provided much of the capacity for solicitor PI insurance—reported approximately £347 million in losses across the legal sector over the five years to 2019, with around two-thirds of those losses relating to PI insurance. As a result, several insurers withdrew from the solicitors’ PI market, creating a shortage of available cover and a difficult landscape for both new and existing practices. The pandemic in 2020 further limited new entrants to the market, especially for newer freelance models.
How We Can Help
At Professional Liability Brokers, we specialise in sourcing Professional Indemnity Insurance for Freelance Solicitors. Whether you’re setting up under the SRA’s freelance model or launching a traditional regulated practice, we understand the market and can help you:
- Navigate the eligibility criteria set by the SRA.
- Access suitable and competitive PI insurance providers.
- Secure appropriate cover for reserved and non-reserved legal work.
- Advise on regulatory issues and help ensure ongoing compliance.
Useful SRA Resources
For more details on freelance rules, see the SRA’s guidance on Freelance Solicitors. To notify the SRA of your intention to practice as a freelancer offering Reserved Advice, use the SRA Freelancer Notification page to inform the SRA of your intentions to do so.
How much does Professional Indemnity Insurance cost for Freelance Solicitors?
Answer:
The cost of PI insurance for freelance solicitors typically start from around £600-700 per year for lower-risk practices undertaking Non-Reserved work, but for Reserved advice (including non-Reserved) – Indicative premiums start at around £2,000 ± £250 + IPT. These are illustrative only and based on low-risk profiles with adequate experience in relevant practice areas. Actual premiums will vary according to factors such as turnover, services offered, experience, claims history and insurer appetite at the time of quotation.Cover is always subject to formal underwriting and acceptance by insurers, and this page should not be interpreted as a recommendation or offer to insure.
Do I need PI insurance if I'm not offering reserved legal services?
Answer:
If you only provide non-reserved legal services, the SRA do not require you to maintain Professional Indemnity Insurance BUT this is still highly advisable and often expected by clients.
What does Professional Indemnity Insurance for Freelance Solicitors cover?
Answer:
PI insurance typically covers legal costs and damages arising from claims of professional negligence, breach of duty, or errors in your legal work. Policies may also include cover for defamation, loss of documents, and claims made by third parties. We help ensure your policy reflects the nature of your practice.
Can I employ staff as a freelance solicitor?
Answer:
If you are offering reserved legal services, the SRA rules do not permit you to employ staff. However, if your practice only provides non-reserved legal services, you may employ support staff and fee earners. Always check with the SRA to confirm your status before hiring.
What information do I need to get a quote?
Answer:
To obtain a PI quote, you’ll typically need to provide SRA number, business plan or summary of services, proposal, estimated turnover, claims history (if any), and an outline of the types of legal work you undertake. We’ll guide you through the full process and help prepare your submission.
What are Insurers looking for in my submission (Download Link)
Answer: Click this link to Download