A consultation on the proposals for professional indemnity cover requirements was conducted in August 2015. The responses received were considered in detail prior to finalising the draft Regulations. Respondents differed in their views on the proposed terms of the Indemnity Insurance in a number of areas some of which are detailed below:
Minimum level of cover: There were some suggestions that the level of €1,500,000 was set too high while others agreed that it was appropriate as the setting of too low a value could result in insufficient cover. For this reason IAASA was satisfied that setting the minimum level of cover at €1,500,000 remains appropriate to ensure adequate cover while giving consideration to the costs of obtaining such insurance within the market place.
Annual indemnity aggregate: Concerns were raised about the cost and need for an annual indemnity aggregate. After consideration of the submissions, IAASA concluded that inclusion of such an annual aggregate limit may result in insufficient overall cover. The draft Regulations have been drafted without this requirement.
A consultation was also conducted in relation to the authorisation process for certain individuals as liquidators. The responses were largely in agreement with the proposed application form and process. Some additional suggestions made by respondents will be taken on board. IAASA is currently finalising the prescription of the Application Forms and in the interim will continue to accept initial applications using the draft application process as outlined in the consultation paper.
The full consultation feedback statement on both consultations is available here.