The QC / Senior Counsel clause in professional indemnity policies
Reviewed by Matthew Bartlett, Director, Apex Insurance Brokers Limited · Last reviewed 2026-08-05
Professional indemnity (PI) policies give the insurer wide control over how a claim is run — usually the right to take over the defence, appoint solicitors, and decide whether to settle. That control can collide with the insured's own interests. An insurer may want to pay a modest sum to make a nuisance claim disappear; the professional may want to fight it because settling looks like an admission that damages their reputation or standing. The QC / Senior Counsel clause exists to resolve exactly that tension.
What the clause actually does
The clause makes the opinion of a senior barrister the referee on whether a claim should be contested. Wordings vary, but the mechanism is consistent: neither the insurer nor the insured shall be required to contest any legal proceedings unless a Queen's Counsel (or King's Counsel — see below) advises that the proceedings can be contested with a reasonable prospect of success.
In practice this cuts two ways:
- It stops the insurer forcing a hopeless fight. If counsel says the claim will probably succeed, the insurer cannot compel the professional to defend it and run up costs for no purpose.
- It stops the insurer settling over the insured's objection when the claim is defensible. If counsel says the claim can be contested with reasonable prospects, the insured has a strong footing to insist it is defended rather than quietly paid off.
The barrister is normally instructed jointly, and the clause usually specifies who bears the cost of obtaining the opinion — commonly the insurer, sometimes shared. Read your wording: the trigger, who chooses counsel, and who pays are all defined there, not by general practice.
"QC", "KC" or "Senior Counsel" — do they mean the same thing?
Yes. The rank of Queen's Counsel became King's Counsel (KC) on the accession of King Charles III in 2022. Older policy wordings still say "Queen's Counsel" or "QC"; newer ones say "King's Counsel", "KC", or the title-neutral "Senior Counsel". They all describe the same thing: a senior, independently appointed barrister. A wording that predates 2022 and still refers to a QC is not defective — it simply refers to the office that is now styled KC. If your renewal wording has been updated to "Senior Counsel", that is a modernisation, not a change of substance.
Why "reasonable prospect of success" matters
The test in most wordings is whether the claim can be contested with a reasonable prospect of success — not whether it is certain to win. That is a deliberately practical standard. Litigation is rarely a sure thing, and the clause is not meant to force a case to trial only when victory is guaranteed. Equally, "reasonable prospect" is a real threshold: a weak defence run purely to protect pride will not clear it.
Because the standard is a matter of legal judgement, the clause hands that judgement to someone qualified to make it and independent of both sides' commercial motives. That independence is the whole point.
Not sure how your policy handles a disputed claim? We read the wording before you need it.
Get a PI quote →How it interacts with other claims clauses
The Senior Counsel clause does not sit in isolation. It works alongside — and sometimes against — the other terms that govern claims handling:
| Clause | What it does |
|---|---|
| Claims control | Gives the insurer the right to take over and conduct the defence in the insured's name. |
| QC / Senior Counsel | Limits that control: no one is forced to contest a claim unless counsel confirms reasonable prospects. |
| Consent to settle | Requires one party's agreement before the other settles or admits liability. |
| "QC" / economic proviso | Often paired: if the insured insists on fighting a claim counsel says is defensible but expensive, the insurer's liability may be capped at what settlement would have cost, plus costs to that point. |
That last point is the sting in the tail. Many wordings combine the Senior Counsel clause with an economic settlement proviso: if the insured chooses to fight on against the insurer's wishes — even where counsel supports the defence — the insurer may limit its indemnity to the amount for which the claim could have been settled, together with the costs incurred up to the date it recommended settlement. The professional then carries the extra cost of pursuing the fight. Read the two clauses together; one gives you the right to defend, the other can put a price on exercising it.
Who benefits from the clause?
It cuts most in favour of professionals whose reputation is bound up in the outcome — solicitors, accountants, architects, surveyors, consultants and financial advisers — for whom a paid-off claim can be read as an admission of fault. The clause gives them a principled, evidence-based route to insist a defensible claim is defended, rather than being at the mercy of the insurer's balance-sheet arithmetic.
It also protects insurers from the opposite abuse: an insured demanding an expensive trial on a claim that counsel considers hopeless. By anchoring the decision to independent legal opinion, the clause keeps both parties honest.
Not every PI policy contains one, and where it does, the drafting differs — some are silent on cost, some cap the insurer's exposure, some require the counsel to be jointly agreed. Have your wording checked before a dispute arises, not after.
Common questions
Does every PI policy include a QC / Senior Counsel clause?
No. It is common in professional indemnity wordings but not universal, and where it appears the terms vary. Some policies rely solely on a claims-control and consent-to-settle framework without any counsel referee. Check your specific wording or ask your broker to confirm whether the clause is present and how it is drafted.
Who pays for the barrister's opinion?
It depends on the wording. Many policies place the cost of obtaining senior counsel's opinion on the insurer, treating it as part of claims handling; others share it or are silent. Because the opinion can determine whether a claim is fought or settled, the cost point is worth confirming when the policy is placed, not when a claim lands.
Can I still fight a claim if counsel advises against it?
You may be able to, but usually at your own expense. If counsel finds no reasonable prospect of success, the clause means neither party can be compelled to contest, and the insurer will typically move to settle. Continuing to litigate against that advice can leave you carrying the additional costs the policy no longer indemnifies.
Apex Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority (FRN 724952). This guide is general information, not advice on a specific policy or a substitute for your policy wording.