In 2024 we updated our
These regulations protect individual consumers and small businesses in the event that they are the victim of negligence, fraud or other dishonesty by a regulated person and where a claim against a regulated person’s professional indemnity insurance cannot be made.
These Rules should be read in conjunction with the Guidance to Making a Claim on the Compensation Fund.
In February 2024, we applied to the Legal Services Board ('LSB') to make some changes to the Compensation Arrangements Rules. Since October 2021, these arrangements have been provided by a £100,000 compensation fund. This application proposed the continuation of the fund, with 4 amendments:
- in addition to keeping the ability for individual consumers to claim, we are proposing to extend eligibility to make a claim on the compensation fund to entities with an annual turnover of less than £2 million;
- increasing the limit for an individual claim from £25,000 to £30,000;
- removing the ability for IPReg to use the fund to pay any other costs, charges or expenses incurred by IPReg in establishing and administering it. IPReg would continue to fund these activities from its general income; and
- drafting changes to ensure consistency with the new Core Regulatory Framework and including the ability to publish the decision we make on a claim if there are no confidentiality or other issues in doing so. We would in any event, publish high level anonymised information in our Annual Report.
Our application
and the supporting annexes,
The actuarial report referred to within this application was provided separately to the LSB and given its confidential nature it will not be published. The LSB agreed to these amendments. The new Rules provided at the top of this page reflect them. The LSB Decision Notice is here [to be linked to when published].
If you think you are eligible to make a claim against these Rules, please contact us.