1986 Ed.]
Solicitors (Professional Indemnity) (Amendment) Rules
[CAP. 159
09
[Subsidiary]
R(1), R(2) & R(3) = Rates as set out in the following table--
Gross Fees Partner Assistant Others (Unqualified Staff) HK$Million R(1) R(2) R(3) 0-5 1.62 1.84 2.16 5--10 1.40 1.40 1.84 10-25 1.08 1.30 1.51 25-50 0.86 0.97 1.08 50-100 0.65 0.76 0.86 100+ 0.43 0.54 0.65or,
(ii) in the circumstances set out below in sub-paragraph (7), according to the formula-
FX P
Where-
P
P above, and
F = the appropriate factor referred to in sub-paragraph (7)(c).
(b) (i) The first premium and all renewal premiums are to be regulated by the number of Principals, assistant solicitors, consultants and unqualified staff engaged or employed in the Practice from time to time and the Gross Fee Income of the Firm;
(ii) The information described as N, M, U and G in sub-paragraph (a) above shall be properly recorded and the Insured shall at all times allow Authorized Insurers to inspect such records;
(iii) Particulars of the names and the position held in the Practice of every Principal, assistant solicitor and consultant and the numbers of and position(s) held by unqualified staff in the Practice at 1 October 1986 shall be submitted by the Firm to Authorized Insurers on or before 29 November 1986. Thereafter a return shall be sent to Authorized Insurers on or before the last day of December, March, June and September in each year commencing with 31 December 1986 showing every subsequent change in such particulars (and the date of such change) occurring since the date of the previous return;
(iv) Upon receipt by Authorized Insurers of the certificate of Gross Fee Income and information pursuant to rule 8(1) to enable Authorized Insurers to assess the premium for the next Period of Insurance, Authorized Insurers will also, based on such information and the other information referred to in sub-paragraph (iii) above, calculate and adjust the premium for the preceding Period of Insurance. Any difference in the amount of the assessed premium paid for the preceding Period of Insurance and the premium established by such calculation shall be met by a further payment by the Firm or, in the event of the Firm being dissolved prior to payment, by the Principals of the Firm immediately prior to such dissolution to Authorized Insurers or by a refund to the Firm or such Principals by Authorized Insurers, as the case may be.
(c) If any Principal who is required to take out and maintain professional indemnity insurance fails to provide Authorized Insurers with a certified public accountant's certificate of the Gross Fee Income or other information (as defined in sub-paragraph (b) above) pursuant to rule 8(1) then such Principal (and his Partners if any) in the Practice shall be jointly and severally liable to pay-
(i) for the First Period of Insurance, an amount equal to 400% of the total amount payable by the Firm as premium under and in respect of the Former Master Policy for the period from 1 October 1985 to 30 September 1986; and
1986 Ed.]
Solicitors (Professional Indemnity) (Amendment) Rules
[CAP. 159
09
[Subsidiary]
R(1), R(2) & R(3) = Rates as set out in the following table--
Gross Fees
Partner
Assistant
Others (Unqualified
HK$Million
R(1)
R(2)
Staff)
R(3)
0-5
1.62
1.84
2.16
5--10
1.40
1.40
1.84
10-25
1.08
1.30
1.51
25-50
0.86
0.97
1.08
50-100
0.65
0.76
0.86
100+
0.43
0.54
0.65
or,
(ii) in the circumstances set out below in sub-paragraph (7), according to
the formula-
FX P
Where-
P
P above, and
F = the appropriate factor referred to in sub-paragraph (7)(c).
(b) (i) The first premium and all renewal premiums are to be regulated by the number of Principals, assistant solicitors, consultants and unqualified staff engaged or employed in the Practice from time to time and the Gross Fee Income of the Firm;
(ii) The information described as N, M, U and G in sub-paragraph (a) above shall be properly recorded and the Insured shall at all times allow Authorized Insurers to inspect such records;
(iii) Particulars of the names and the position held in the Practice of every Principal, assistant solicitor and consultant and the numbers of and position(s) held by unqualified staff in the Practice at 1 October 1986 shall be submitted by the Firm to Authorized Insurers on or before 29 November 1986. Thereafter a return shall be sent to Authorized Insurers on or before the last day of December, March, June and September in each year commencing with 31 December 1986 showing every subsequent change in such particulars (and the date of such change) occuring since the date of the previous return;
(iv) Upon receipt by Authorized Insurers of the certificate of Gross Fee Income and information pursuant to rule & to enable Authorized Insurers to assess the premium for the next Period of Insurance, Authorized Insurers will also, based on such information and the other information referred to in sub-paragraph (iii) above, calculate and adjust the premium for the preceding Period of Insurance. Any difference in the amount of the assessed premium paid for the preceding Period of Insurance and the premium established by such calculation shall be met by a further payment by the Firm or, in the event of the Firm being dissolved prior to payment, by the Principals of the Firm immediately prior to such dissolution to Authorized Insurers or by a refund to the Firm or such Principals by Authorized Insurers, as the case may be.
(c) If any Principal who is required to take out and maintain professional indemnity insurance fails to provide Authorized Insurers with a certified public accountant's certificate of the Gross Fee Income or other informa- tion (as defined in sub-paragraph (b) above) pursuant to rule 8(1) then such Principal (and his Partners if any) in the Practice shall be jointly and severally liable to pay-
(i) for the First Period of Insurance, an amount equal to 400% of the
total amount payable by the Firm as premium under and in respect of the Former Master Policy for the period from 1 October 1985 to 30 September 1986; and
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