How do I make an application?

Your application will provide us with detail about:

  • the firm’s structure and processes and how you manage risk
  • details of the owners and managers – experience and skills
  • details of who is responsible for compliance – managing the practice and finances

We will work with you on how best to put this together. We will ask for sight of your last PII application/renewal to understand in detail any previous claims history.

We will liaise with your existing regulator to confirm there are no issues that would prevent us considering a switch of regulator. We will keep them informed of the timeframe that we agree with you to switch regulation to us.

What will my application look like?

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  • Entity Application Form, covering your approved/compliance manager(s)
  • Business Plan and Budget
  • Policies and procedures
  • Client care information
  • PII details
  • Details of regulatory history

 

Once your application has been submitted, we will then arrange with you for any DBS checks to be put in place. Details can be found here

The application forms and the handbooks that guide you through their completion can be found in the Resource Library

We will be moving to an online application in 2019.

What are the first steps and timescale?

Have a chat with us about whether switching is appropriate for you. If we both think it is then we will give you a decision in principle.

We will suggest having a face-to-face meeting so we can have a more detailed discussion about your firm. This could be a visit to your firm or by Skype.

That will help us plan together what is required to make the switch as smooth as possible. Alongside the standard information that you would expect us to see, it will also enable us to quickly identify any particular questions we both may have and thereby make the process as simple as we can.

The following sets out the key events but we will look to work to a timescale that suits you:

Initial interest

  • First discussions
  • Once you have decided to proceed, we will visit your firm to plan a switching timetable

Contact regulator

  • Approach existing regulator to confirm no issues that would prevent a switch
  • Confirm with switching firm that happy to proceed with application

Application received

  • After initial assessment we will address any gaps with you
  • Normally fully assessed within 30 days

Provisional authorisation

  • Allows you to decide when is best to switch regulation
  • Sets out any conditions for authorisation
  • Agree switch date with existing regulator

Full authorisation

  • Letter of Authorisation and Certificates sent
  • Access provided to digital logos
  • Advise existing regulator that now a CILEx Authorised Entity

Authorisation declined

  • Letter advising decision sent
  • Advised of appeals process

Full details of the application and appeals processes can be found within the CILEx Authorisation Rules.

Application cost

Application fee here

  • based on turnover of the firm, structure and whether it holds client money
  • covers first year’s entity practice fee

Compensation Arrangements fee here

  • provide redress to consumers who suffer loss due to the dishonesty or failure to account of a firm
  • based on the firm’s turnover, whether it holds client money & the services it is authorised for

Please keep an eye on the website as fees will change on an annual basis.

Professional Indemnity Insurance

  • All regulated firms are required to have qualifying PII
  • Information on the insurers that we use can be found here
  • For firms switching, existing PII may continue until renewal when it will need to transfer to our Minimum wording
  • Your insurer will be able to indicate whether run-off cover is triggered, although the intention is that this should be the exception
  • We are happy to arrange for new insurers to be added to the list of qualifying insurers
  • We know that existing relationships with brokers and insurers are important to firms , so we will seek to make this as easy as possible

Compensation Arrangements

  • Where you have previously made contributions to a Compensation Fund of another regulator, the ability to claim will be governed by the rules of that regulator
  • If an event giving rise to a claim happened under that previous regulator, a claim against the CILEx Regulation Compensation Arrangements will not be possible
  • Any claims will only be considered from the date that you came under our regulation