Cyber Insurance for Solicitors & Law Firms
Cybercrime is now one of the most serious financial, regulatory, and reputational risks facing UK law firms. From conveyancing payment fraud to ransomware and data breaches, a single cyber incident can result in substantial losses, regulatory scrutiny, and long-term client damage.
SRS Insurance arranges specialist cyber insurance for solicitors and legal practices, tailored to real legal workflows — not generic IT or off-the-shelf policies.
Why Law Firms Are Prime Targets for Cybercrime
Solicitors are targeted because they:
- Hold client money in trust and office accounts
- Exchange bank details and completion statements by email
- Operate under time pressure, especially during completions
- Store large volumes of high-value personal and financial data
Cybercriminals understand legal processes — particularly conveyancing — and exploit weak controls, human error, and email dependency.
Firms regulated by the Solicitors Regulation Authority are expected to take reasonable steps to protect client data and funds. Cyber insurance is now a core risk transfer tool, not an optional add-on.
Common Cyber Risks Faced by Solicitors
Conveyancing Payment Redirection Fraud
(often known as “Friday Afternoon Fraud”)
- Criminals intercept or spoof solicitor email chains
- Clients receive fraudulent bank details
- Funds are diverted shortly before completion
Typical loss: £50,000–£150,000 per incident
Email Account Compromise
- Fee earner or assistant inboxes are hijacked
- Criminals monitor conversations silently
- Fraud instructions appear genuine and trusted
Ransomware Attacks
- Practice management systems and files encrypted
- Business interruption and missed deadlines
- Extortion demands and reputational fallout
Data Breaches & GDPR Incidents
- Mis-sent emails or unsecured devices
- Loss of client personal or financial data
- ICO notification and regulatory engagement
Insider & Access Control Failures
- Former staff retaining system access
- Excessive permissions
- Accidental or malicious misuse of data
What Cyber Insurance for Solicitors Should Cover
A well-structured cyber policy for a law firm should include:
Cyber Crime & Social Engineering
- Payment diversion and impersonation fraud
- Coverage aligned with legal workflows
Ransomware & Business Interruption
- System restoration and data recovery
- Loss of income during downtime
Data Breach Response Costs
- Forensic IT and legal advisers
- ICO notification and regulatory response
- Client notification and mitigation costs
Cyber Extortion
- Specialist negotiators
- Ransom payments where legally permitted
Crisis & Reputation Management
- Public relations and media response support
Cyber Insurance vs Professional Indemnity Insurance
Many solicitors assume cyber losses are fully covered under Professional Indemnity (PI). This is increasingly incorrect.
- PI insurance typically addresses third-party client losses
- Cyber insurance covers first-party losses, system damage, extortion, and response costs
- Insurers expect the two to work together, not overlap
Without standalone cyber cover, firms often face significant uninsured exposures even where PI responds.
Cyber Insurance for Conveyancing-Focused Law Firms
Conveyancing practices face elevated cyber risk due to:
- High transaction volumes
- Regular exchange of bank details
- Completion deadlines and time pressure
Cyber insurers assess conveyancing firms closely and expect evidence of:
- Verbal bank detail verification
- Staff cyber awareness training
- Secure document portals
- Multi-factor authentication
SRS Insurance works with conveyancing firms to ensure cyber insurance is structured, defensible, and insurable at renewal.
Underwriting Expectations & Risk Management
Cyber insurers increasingly scrutinise:
- Client money controls
- Banking detail verification procedures
- MFA usage across systems
- Incident response planning
- Staff training records
Firms with stronger controls often benefit from:
- Better insurer appetite
- Reduced exclusions
- More stable premiums
How SRS Insurance Supports Law Firms
SRS Insurance is a UK-based, FCA-regulated insurance broker specialising in professional risks.
We support solicitors by:
- Assessing cyber exposure specific to legal operations
- Reviewing policy wordings and exclusions
- Aligning cyber cover with PI arrangements
- Supporting claims and insurer engagement
We work with:
- Sole practitioners
- Conveyancing-heavy firms
- Multi-office practices
- Firms handling sensitive or high-risk client data
Why Choose SRS Insurance
- Legal-sector cyber risk expertise
- Access to multiple UK cyber insurers
- Independent, FCA-regulated advice
- Practical guidance — no IT jargon
Frequently Asked Questions (FAQ)
Yes. PI insurance alone does not cover many first-party cyber losses such as ransomware, system restoration, or data breach response costs.
It can be, but only if structured correctly. Policy wording, controls, and insurer expectations are critical.
Yes. Weak controls, misrepresentation, or failure to follow declared procedures can complicate claims outcomes.
It is not mandatory, but cyber risk management is increasingly expected as part of reasonable governance and client protection.
Make sure your insurance protects your accreditation — not jeopardises it.
Call 01274 965791 or visit www.srs.insurance to request your personalised quote today.