1. Today’s Conveyancer Conference Solicitors: The PI Insurance History, the SRA role and the likely future September 2011 Steve Ray

4. What are Insurers saying - challenge and uncertainty Reducing investment returns Expense costs Reinsurance costs Large loss frequency Prior Year deterioration Credit crunch Increasing volatility Natural catastrophes Insurers

5. PI Premiums

7. 2000 Original Qualifying Insurers CGNU RSA QBE Zurich Ace Hiscox Syndicates St. Paul Hiscox AIG Chubb R J Wallace M J Harrington Liberty Brit The Underwriter R E Brown Cox Chartwell Hicks & Wheeler SJB (1212) Denham Axa R J Kiln Wellington Drysdales Heritage P G Butler Independent Saturn Admiral Alleghany Mitsui St. Paul Syndicates Janson Green

8. 2000 Participating Qualifying Insurers CGNU RSA QBE Zurich Ace Hiscox Syndicates St. Paul Hiscox AIG Chubb R J Wallace M J Harrington Liberty Brit The Underwriter R E Brown Cox Chartwell Hicks & Wheeler SJB (1212) Denham Axa R J Kiln Wellington Drysdales Heritage P G Butler Independent Saturn Admiral Alleghany Mitsui St. Paul Syndicates Janson Green

9. 2010 Participating Qualifying Insurers Aviva (NU) RSA QBE Zurich Ace Hiscox Syndicates Travelers Hiscox Chartis (AIG) Chubb D A Constable M J Harrington Liberty Brit The Underwriter R E Brown Cox Chartwell Hicks & Wheeler SJB (1212) Denham Axa R J Kiln Wellington Drysdales Heritage P G Butler Independent Saturn Admiral Alleghany Mitsui St. Paul Syndicates Janson Green Newline Alpha Ins Novae W R Berkeley A G Dore Catlin Dual Hannover Quanta Quinn Aspen XL Insurance Allianz Lemma Europe

10. 2010 Participating Qualifying Insurers (over 5%) Aviva (NU) RSA QBE Zurich Ace Hiscox Syndicates Travelers Hiscox Chartis (AIG) Chubb D A Constable M J Harrington Liberty Brit The Underwriter R E Brown Cox Chartwell Hicks & Wheeler SJB (1212) Denham Axa R J Kiln Wellington Drysdales Heritage P G Butler Independent Saturn Admiral Alleghany Mitsui St. Paul Syndicates Janson Green Newline Novae W R Berkeley A G Dore Catlin Dual Hannover Quanta Quinn Aspen XL Insurance Allianz Lemma Europe

11. The Market and Insurers (at 2010 renewal) 2010/11 Participation 2009/10 Participation Rank Insurer Percentage Value (£) Percentage Value (£) 1 Chartis Insurance (UK) Ltd (formerly AIG) 18.06% 38.56m 14.91 36.02m 2 International Insurance Company of Hannover 14.41% 30.78m 4.48 10.82m 3 XL Insurance Ltd 13.33% 28.47m 7.12 17.19m 4 Zurich Professional Limited 12.90% 27.5m 12.77 30.83m 5 Travelers Insurance Co Ltd 11.04% 23.50m 13.37 32.27m 6 QBE International Insurance Limited 8.22% 17.55m 9.97 24.08m 7 Allianz Global Corporate & Specialty AG 6.41% 13.2m 4.54 10.96m 8 Aviva Insurance Limited (prev Norwich Union) 4.24% 9.056m 3.94 9.52m 9 Lemma Europe Ins Co Ltd 2.93% 6.14m 1.04 2.50m 10 Royal & SunAlliance Insurance PLC 2.24% 4.78m 5.87 14.17m

17. The ARP – how bad is it? Firms Total Incurred Premium Due Premium Paid 2000 69 £9,621,243 £1,490,277 £952,337 2001 136 £2,962,348 £1,883,347 £1,386,179 2002 60 £3,767,611 £1,657,439 £1,143,735 2003 59 £1,934,359 £1,175,192 £647,107 2004 38 £723,146 £634,225 £441,109 2005 33 £4,521,767 £927,297 £411,419 2006 32 £4,459,971 £522,552 £271,293 2007 28 £7,921,338 £308,308 £200,650 2008 168 £48,141,516 £4,788,562 £2,064,066 2009 274 £25,144,970 £6,053,553 £2,972,371 2010 295 £922,855 £12,921,899 £2,435,462 TOTAL £110,121,124 £32,362,651 £12,925,728

22. Where Are The Claims Coming From? Historically

23. Where Are The Claims Coming From? 2009 / 2010 – per loss type

24. Where Are The Claims Coming From?

25. Where Are The Claims Coming From? 2009 / 2010 – claims incurred

31. Today’s Conveyancer Conference Solicitors: The PI Insurance History, the SRA fantasy and the likely reality September 2011 Steve Ray