In reference to Ken Davy’s column about the unfairness of the FSCS, (FA, 5 June) and whether solicitors and other professionals experience the same problems, advisers should know that we solicitors do indeed have to pick up the losses caused by our colleagues.
The difference is that our insurance arrangements work properly; and losses are mostly covered. Your insurance arrangements are full of holes which allow IFAs liabilities to remain uncovered.
The solution is simply to make your compulsory insurance arrangements proof against the exclusion clauses and other escape mechanisms operated by insurers, including, of course, inadequate cover. The FCA could achieve this if it wished.