US insurer Liberty Specialty Markets has provided security for the launch of a professional indemnity insurance product for NSW lawyers.

Underwriting agency ABC Insurance will offer the product in time for solicitors and law firms to obtain the mandatory cover for the 2024-25 financial year.

“As one of Australia’s leading professional indemnity insurers, every day, Liberty helps protect a very large and diverse range of professionals engaged in knowledge‐based industries,” the insurer’s Asia-Pacific Head of Casualty and Professional and Financial Risks Marcus Thomas said.

He says the insurer has 25 years’ experience protecting professionals around alleged negligence, breach of duty, and misleading and deceptive conduct.

“As Australia’s legal profession benefits from harmonisation brought about by the introduction of the Uniform Law, we’re pleased to put our support behind ABC and help introduce choice into the legal professional indemnity insurance market.”

The Legal Profession Uniform Law and Applications Acts and Regulations govern the practise of law and insurance requirements in NSW and Victoria.

ABC Insurance’s David Sandig says the product will offer choice, improvements to cover and competitive prices backed by a global mutual insurer.

“Together, we will bring industry-leading levels of service, innovation and efficiency,” he said. “Competition creates pricing pressure.”

ABC says it will use a “comprehensive, bespoke technology” system to support all underwriting and claims handling for lawyers.

At present, the Law Society of NSW, through wholly owned subsidiary Lawcover Insurance, is the dominant provider of professional indemnity insurance for the profession in the state.

ABC plans to expand to other states and territories once its business is established.