We design innovative solutions to place cover which mitigates title risks you face from the purchase, sale, ownership or development of real estate assets as well as Rights of Light and Judicial Review covers.

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Legal Indemnities

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Protecting your rights and interests

We design innovative solutions to place cover which mitigates title risks you face from the purchase, sale, ownership or development of real estate assets as well as Rights of Light and Judicial Review covers.

Underpinned by decades of experience, we can also create bespoke solutions for individual risks you face where an insurance product may not already exist.

Leveraging detailed knowledge of the market and our strong long-term relationships with insurers, we identify appropriate market capacity and cover. This enables us to secure the best possible quotation to meet your needs.

Customised insurance solutions

Our global expertise ensures your projects are protected at every stage

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Our Legal Indemnities Team

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Felix Corbett

VP - Contingent & Special Risks
Felix.Corbett@lockton.com
+44 20 7933 0763

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Ian Blackadder

Partner
ian.blackadder@lockton.com
+44 7795 800 494

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Toni Longman

Senior Vice President
toni.longman@lockton.com
+44 7584 441 396

General Inquiries

Get in touch

enquiries@uk.lockton.com

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Legal Indemnities FAQs

What is the difference between “Agreed Conduct” and “Wait and See”?

These are four different claims strategies available under legal indemnity policies, depending on the nature of the risk and the insurer’s appetite:

Proactive Agreed Conduct: You are required to approach the third party within a set timeframe (this varies by insurer). During this phase, you are responsible for all negotiation costs and professional fees. A claim is triggered when negotiations reach a value close to the property’s allocated deductible, or when there is a material threat of injunction — at which point the insurer takes over.

Reactive Agreed Conduct: You are not required to proactively approach the third party. However, if a third party makes contact or a risk emerges, you may engage in settlement discussions. During this phase, costs remain with you until a claim is triggered (as above, either by reaching the deductible threshold or a material threat of injunction).

Elective Agreed Conduct: Offered on a case-by-case basis, this gives you the option to either initiate discussions with the third party or wait and respond if a challenge arises. It's designed for flexibility and is subject to insurer agreement.

Wait and See: Once the policy is live, you are not required to take any action unless a third party asserts the risk. If that happens, the insurer will cover all professional fees and settlement costs from the outset. This is the most passive structure and provides comfort that costs are covered from the moment a challenge occurs.

  • Loss in market value of the property

  • Legal costs and expenses incurred (with consent)

  • Compensation settlement payments to third parties

  • Costs of modifying or removing structures

  • Delay costs arising from an injunction or planning risk

  • Costs of obtaining releases or alternative rights

  • Professional fees

Policies are tailored to your structure and typically cover:

  • The property owner

  • Funders or mortgagees

  • Tenants (for leasehold interests)

  • Purchasers, successors in title, and their funders

Legal indemnity policies are written in perpetuity — they remain in force indefinitely, unless otherwise agreed. Cover attaches at the inception date and continues automatically on sale, refinancing, or inheritance.

This is the total amount of cover the policy provides and is typically aligned to:

  • The current or future market value of the property or interest

  • The gross development value (GDV) for development sites

Or a specific amount based on loan facility, potential loss, or negotiated exposure. An escalation clause can sometimes be added to reflect future increases in value.

It depends on the complexity of the risk:

Simple, off-the-shelf risks (e.g., missing easement) can often be turned around same-day or within 24 hours. More complex risks (e.g., Rights of Light, judicial review, restrictive covenants) typically require a bespoke approach, with quotes in 3–5 days once sufficient information is received.

For development sites with layered risks, we can assist in early engagement and broker underwriter discussions to speed up timelines.