The Irish government has assured the Law Society that solicitors will not be affected by the transfer of some of the business of Quinn Insurance.

More than 500 solicitors have run-off professional indemnity insurance cover with the Irish firm, which went into administration last year.

The Irish High Court has approved the transfer of some of Quinn’s insurance business to Liberty Mutual Direct, while also rubber-stamping a payment from the Irish Insurance Compensation Fund (ICF) of €738 million.

Part of that sum is for the joint administrators of Quinn to apply to the court for a drawdown to meet any claims arising under the remaining policies, including those of Law Society members.

The Society has been advised by the High Court that under new legislative provisions in Ireland, claims to the ICF from ‘risks outside of the state’ would not apply. The existing rules, which give protection to solicitors in England and Wales, would apply to the Quinn administration.

Law Society chief executive Desmond Hudson said: ‘The assurances we have received from the joint administrators is good news for our members and helps alleviate many concerns the 500-plus members with Quinn run-off policies had about the partial transfer of Quinn’s insurance business to Liberty.

‘We have also written to all of our members and former members who are likely to be affected, informing them of the outcome of the hearing and we will continue to monitor the administration of Quinn to ensure their interests are protected and take further action if necessary.’