Choice and Fairness for NSW Solicitors - Update

15 April 2026

We are writing to provide an update on efforts to introduce choice and competition and a level playing field for solicitors’ PI insurance.

Unfortunately the Attorney General of NSW has once again chosen to extinguish competition with the sole purpose of maintaining the Law Society of NSW as the monopoly insurer for the majority of NSW solicitors.

The good news is that there is increasing political and media scrutiny, as well as a campaign launched by solicitors, which is making the Law Society’s and the Attorney General’s positions ever more untenable.

Had the Law Society and the Attorney General not intervened competition would have taken effect automatically in accordance with the Uniform Law. Instead the Attorney General, relying on the Law Society and its wholly owned subsidiary (Lawcover Insurance) to invoke his authority, chose to intervene and to extinguish the approved status of ABC Insurance’s policy. It was not necessary for the Attorney General to have any involvement. In addition he has been provided with a copy of advice from Mr Bret Walker SC that he is exceeding his powers.

There is growing opposition to the conflicts of interest and the obviously adverse consequences for the people of NSW, including the inherently unfair outcome for the majority of NSW solicitors (generally those working in smaller practices) who, among other things, continue to be denied choice (including access to a broader, more cost-effective policy) while those in large practices continue to enjoy more affordable cover, via insurance policies which are not approved by the Attorney General.

ABC Insurance welcomes inquiries being made into this matter by the Legislative Council of NSW, initiated by the Hon. John Ruddick with broad support from other MLCs. A motion calling for papers passed unopposed and interest has been expressed in a formal inquiry by a parliamentary committee.

The Australian published an article on 13 March 2026 entitled “NSW Attorney-General Michael Daley squirms over law society’s $14.6m insurance cash cow”, with sub-title “A ten-second exchange in the NSW parliament’s budget estimates last week revealed everything that’s wrong with the Law Society of NSW’s $14.6m monopoly on legal insurance”. See the article on The Australian website here.

With insurance renewal underway and many premiums increasing, solicitors are indicating they want to make their views known but are unclear how. We encourage NSW solicitors to get in touch to understand what they can do to help bring about change and choice of insurance providers.

We are also continuing to follow steps being taken by members of the Law Society interested in the introduction of choice and competition and whether the Law Society’s ownership of Lawcover Insurance is appropriate. One group ‘Solicitors for PII Choice’ is seeking member support to call a general meeting of the Law Society to consider resolutions. Please refer to their website at pichoice.com.au for more details.

Additional information, including links to recent proceedings in the NSW Legislative Council, recent correspondence with the Attorney General and Councillors of the Law Society of NSW is available on our website under Resources.

We are grateful for and heartened by the ongoing support we are receiving from so many solicitors.