The Australian Securities and Investments Commission (ASIC) has called for feedback on a draft guidance paper dealing with company auditor changes under the CLERP 9 proposals, which include an obligation that companies wishing to register as company auditors must have “adequate and appropriate” professional indemnity insurance.

Malcolm Rodgers, ASIC’s Executive Director of Policy and Markets Regulation, says CLERP 9 will allow companies to register as company auditors for the first time. But they will have to have proper PI insurance, which may not necessarily be easy to obtain.

“We want to be confident that the insurance is reasonably available in the marketplace,” Mr Rodgers said. “Our proposals on the insurance required have been developed with these considerations in mind.”