Run-Off Cover for PI Insurance: Protection After You Stop Trading

Run-off cover extends PI insurance protection after you stop working. Since claims can emerge years after you deliver work, it's crucial when retiring or changing careers.

Why You Need It

Professional errors often take years to discover. Without run-off cover, a claim from your last month of work—notified 5 years later—leaves you completely unprotected.

How It Works

Run-off cover (tail cover) extends existing PI insurance to cover claims notified after you stop working. Typically 6 years post-retirement.

Typical Run-Off Periods

3 years: minimum for low-risk professions. 6 years: standard, covers legal limitation periods. 10 years: for long-tail professions like architects. Indefinite: permanent protection.

Cost of Run-Off

Significantly cheaper than active insurance: typically 100–250% of final annual premium. Example: £1,000 final year costs £1,200–£2,500 for 6 years (roughly £200–£400 per year).

Is It Mandatory?

Required for solicitors (SRA), architects (ARB/RIBA), surveyors (RICS). Recommended for all professions.

"Not purchasing run-off cover is like retiring without pension protection. One claim from past work could cost you everything."

— Institute of Professional Support

Frequently Asked Questions