The Federal Court has ordered several Lloyd’s syndicates to be joined to a case that will test the cover provided by professional indemnity policies.

They will be added as respondents to three super fund trustees’ claim for damages against financial adviser Salisbury Group and two of its authorised representatives.

The affected syndicates are Alterra at Lloyd’s, on behalf of syndicate 1400; Barbican Managing Agency (syndicate 1955); Montpelier Underwriting Agencies (5151); Canopius Managing Agents (4444); and Chaucer Syndicates (1084).

The trustees allege authorised representatives John Todd and Trevor Martin gave advice that was in breach of their legal obligations and caused financial loss.

Salisbury Group was put into liquidation in June and neither authorised representative had significant assets in their own name.

The underwriters say the trustees’ claim is outside the policy’s scope.

Justice Alan Robertson says the trustees are likely to argue the policy responds, while questions have arisen over whether particular investments were “approved” products and on a published list.