In our modern world we all use technology without a thought.  We buy and sell, check facts, look for bargains and so on.  For most people the internet forms the backbone to our lives, holidays, nights out, that late birthday card or present all can be sorted using the internet.

This level of interaction is not continued into our business lives, tablets, smart phone, Wifi etc.  We rely on these devices in our personal lives but are more reluctant in business, why?

If asked most of us would cite security, we have all read about mistakes made, (the embarrassing photos that can and have led to a P45), and using technology these mistakes run around the world to most peoples’ amusement.

But, rest assured it will come and those at the forefront of this revolution will reap the benefit.

Here at QLP we are embracing this brave new world.  Our stamp bill is about 10% of what it was, the time taken to process a case has reduced by up to 75%.  Admin has been greatly reduced enabling us to take on more work without increasing the staffing levels.

A drawback to this new situation is people come to expect this level of service, if you are not in the game you will lose business.

So where do we go from here?  The future seems to be a streamlined business model, everything can be sorted so much more quickly on the internet.  Time will come, in the not too distant future, where papers will be served via the net.  We already transfer them via the net.  Just a thought, will court fees reduce?  I think we know the answer to that!

Looking further ahead, Wi-Fi is everywhere, we do not even have to be in the office to access our network, and the cloud is gaining pace, offering more options.  How soon before we downsize our office space?

What could be better than on a nice summer’s day sitting outside a coffee shop working on our tablets?  Will formal office space just be there for meetings or will meeting end up on the tablet?  Using services like VOIP and Skype mean no phone charges, even international calls are free.

We can reduce costs and in many ways improve the quality of our working lives, win win?

From a personal view point, I hope the office environment does not disappear altogether, after all, homo sapiens are programmed to interact with its own.  Will costs reduction prove too much?  I will leave you to decide.

QLP are pleased to announce the launch of our clinical negligence disbursement funding facility, ‘QLP FUNDING’

A key point is that this facility is “off balance sheet”, this  should please the financial bods within the firm as the often considerable cost for firms funding these disbursements will no longer have to be carried or be a drain on the overdraft facility.

So what are the main points to consider?

• A suitable After The Event (ATE) policy must  be in place before funds are drawn down
• Backed by the ATE policy, the claimant pays nothing if the case loses
• The interest is insured
• Nothing to pay until conclusion
• All interest rolled up until conclusion
• Interest is charged on a simple basis, and not charged as “interest on interest”
• No time limit on case duration
• Unlimited number of drawdowns (each carries a charge)
• The ATE premium is deferred and conditional upon success

You, as the solicitor, are in charge of the case AND the funding, drawdown as often as you like (there is a fee payable each time) and as much as you require.  The drawn down funds are used to pay the on-going disbursements of a case and are recoverable from the losing defendants.  Simple interest on the amount drawn down, charged is rolled up until the end of the case and is paid from damages.

Should the case be lost the insurance policy covers the funded disbursements and interest thereon.  There is no cost to your client.

So why use QLP, as a broker?  Arranging funding and insurance involves a lot of time (and therefore cost) for solicitors.  Using QLP can  dramatically reduce this burden, one application to QLP can be presented to the funder and insurer simultaneously.  We then act as a filter for the inevitable queries generated.

QLP are independent and experienced brokers and can usually select funders and insurers who have an appetite for a particular case, reducing time for obtaining offers of funding and insurance.

For the moment, this plan is only suitable for larger damages cases.

The professional indemnity insurance season for 2013/14 was been one of the most difficult renewals for many a year for everyone, solicitor, insurers and brokers (even!).  Over 100 firms had to close as they could not find cover or could not afford the premium.

So what has caused this?  Stepping back and looking at all things it is apparent that we have had a perfect storm.  We are 5 years into a recession and finally emerging through the other side (fingers crossed).  With signs that some areas are pulling through (the UK!), for insurers and legal firms money is still tight and claims are rising.

A little bit of background may help understanding.  In insurance economics if premium monies are not needed now, insurers aim for a balanced portfolio of long term investments, monies on deposit and premium income.  Surplus premium income has therefore been put aside in good times to maintain premium levels in bad times.  This can only work for so long.

At the moment investment returns are low and interest rates are virtually non-existent.  Insurers are ever more relying on recent premium income alone to fund claims and costs.  At the same time clients are increasingly cost conscious and looking for the best price from the participating insurers.

At the moment there is excess capacity in the insurance world and in recent years a number of insurers have looked at the solicitor’s professional indemnity market and decided to have a go.  The simplest way to gain market share was to cut prices, with concomitant downward pressure on premiums (always welcome) but also causing the larger and more mature insurers to look at their business models and consequently some are reducing their exposure.

More insurers in the market forcing down premiums looked to be a good for firms but has turned into a perfect storm.  Some of the newbies have withdrawn from the market for various reasons, other insurers are seeking to reduce their exposure so creating a sellers’ market.

So what can we do?  It is an old saying but relationships do count, brokers know both their clients and the insurers, we like to build information on both and use it to everybody’s advantage.  With the relaxing of renewal dates we can start the process earlier and proceed at a more organised  pace.  This will allow a more measured approach to an application.  Brokers will have time to consult their clients and help with the presentation of an application.  Working together we will not have to condense a years’ worth of work into a few months as has happened in recent years.