Professional indemnity insurance sits behind every firm, and AI is now part of the risk an insurer prices. As renewals come round, expect questions about how the firm uses these tools, and be ready to answer them.
What insurers worry about
The familiar failures: a fabricated authority that reaches a court, client data disclosed through an unapproved tool, advice built on a model's confident error. Each is a claim waiting to happen, and each is avoidable with basic discipline.
What helps at renewal
A written AI policy, a record of the tools in use, evidence that staff are trained, and a clear rule that a human checks output. These are the same controls that keep clients safe, and they are what an insurer wants to see.
Tell them, do not hide it
Using AI is not a problem to conceal. Using it without controls is. A firm that can describe its approach plainly stands in a far better position than one that cannot say what its staff are doing.
Treat the insurer's question as a useful prompt to get the basics in order, before a claim makes the point for you.
The firm-level duties your insurer will ask about sit in the SRA Code of Conduct for Firms.
If renewal is approaching and the proposal form asks about AI for the first time, walk in with answers rather than gaps. We help firms write them: start with a conversation.