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Malaysian Bar Mandatory PII Scheme

The Professional Indemnity Insurance ( “ PII”) Scheme for the Malaysian Bar was introduced  in 1992.  PII is compulsory under Section 78A of the Legal Profession Act 1976.  The amendment in 1992 sets out the provisions for the Bar Council to maintain a Mandatory PII Scheme.  
The Mandatory PII Scheme ensures that insurance is available to all practitioners despite their claims history.  On behalf of Members, the Bar Council arranges for a uniform single Master Policy which indemnifies every advocate and solicitor who is permitted to practice in Peninsular Malaysia.  There is cover within the terms of the Master Policy to provide indemnity in respect of claims made against a retired lawyer or a lawyer’s estate and legal representatives in the event of death.  PII cover is compulsory before Bar Council issues their Sijil Annual and Practicing Certificate. 

The Malaysian Bar PII Scheme insures its Members against civil liability for claims arising out of the legal practice for work customarily and legitimately performed by lawyers in Malaysia which include damages payable to claimants including claimant’s costs and defence costs.  A specific mandatory limit will apply to each and every claim, upon exhaustion of the firm’s base excess.