RICS general council finally agreed to set up an assigned risks pool (ARP) and a listed insurer scheme after attempts to do so with its former professional indemnity insurance broker, RICS Insurance Services, failed in 1994.
An ARP was first mooted five years ago in response to difficulties faced by some RICS members in renewing their PI insurance.
The latest plans, which will cost around £30,000 to set up, could take effect from next January. There would be an annual management fee of £24,000, part of which owuld be offset by brokerage fees from participating firms in the pool. The costs could be shared by the institution and the ISVA if the scheme is run jointly with the ISVA.
At its meeting on Monday, council also agreed to make a report on professional liability in the public and corporate sectors available to RICS members. The report will also be used as a basis for discussion with other professional bodies such as the Law Society, Institute of Chartered Accountants and the RIBA.
A working party produced the study because of an increase in the number of chartered surveyors in public service being personally sued for work they had carried out.
