Professional cover

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT member discussion
Hello all

I know there have been many posts on this, but this is a new one, I promise!

My partner is ACCA qualified, and therefore has to do more CPD than me, just to keep his membership. However, he is employed, and therefore does not have PI insurance.

So, can I use him as my professional cover? Bearing in mind I'll be doing it on the side, and will definitely be under the £5,000 fee base limit. Is it acceptable to name him on the basis that, should I fall ill, he would then take out PI insurance in order to cover my (very minimal) work commitments?

Thanks!

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    I would double check with AAT first, but I think it is as long as you can confirm he would take out the PII you should be ok.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    Why not take out PI in your joint names :?:

    Claudia
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    Professional cover and PI cover are two seperate things and you do not need professional cover if you are under the £5k turnover it is not mandatory. You can apply for the PI cover on the AATs block policy in this case which is about £47.00. I'm pretty sure that this is a mandatory requirement but just check on the application form.

    Hope this helps.

    Joanne
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    PI is mandatory for every MIP regardless of their income. What I was suggesting was taking out joint PI cover so that Lilibet's partner could be her professional cover.

    Claudia
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    if you are suggesting that your ACCA qual partner covers your practice work then he would most likely need an ACCA practicing cert
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover


    I called AAT in the end, and they confirmed that as long as I am happy that the bod is professionally capable of doing the work, then they could be my professional cover.

    However, the chief has now alarmed me slightly, as he certainly doesn't have an ACCA practising certificate. Might be back to the drawing board time!

    Thanks everyone for your responses :)
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    ACCA do have strict rules.
    Your partner would be able to carry out book keeping up to TB, prepare VAT returns and produce payroll. But that is it I'm afraid without a practising licence.

    Without the licence you cannot produce anything which a thrid party will place relience on, effectively it means you can't sign an accountants report for final accounts or prepare/produce tax returns. Penalties are high if caught as your partner could lose their ACCA membership.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    If you look on your application form, as you are under the £5k mark, it says that professional cover is advisable but not mandatory, so you dont need to have it if you dont want. You need PI insurance which is a completely different thing, and as I said you will be eligible for the AAT block policy scheme. Why not try to find a local AAT MIP to give you professional cover if you think you may need it?

    Regards

    Joanne
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:Professional cover

    Yes I have applied to become a registered member too and I didn't put down professional cover as I don't think I need it yet and it is not mandatory.

    However as Joanne suggests going along to a branch meeting is useful and many MIP's who attend will help, and this is where I will go when it gets to the stage that I need cover.

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