For too long, professional indemnity (PI) insurance has remained stagnant , bound by outdated practices and rigid frameworks that fail to meet the evolving needs of financial advisers and planners. Enter BareRock—a company dedicated to reimagining the landscape of PI insurance through technology, innovation, and a commitment to client-centric policies. IFA Magazine’s Senior Financial Journalist, Jenny Hunter, sat down with Founder and CEO of BareRock Jonathan Newell, to find out how they are challenging the status quo.
In a recent conversation with Jonathan, he shared insights into the company’s journey, its mission, and how BareRock is creating a fundamental shift in the industry by placing advisers and their clients at the heart of its innovation.
A vivid vision
Jonathan Newell has spent nearly 30 years in the insurance industry, with extensive experience in broking, underwriting, and risk management. Over the years, he saw first-hand the limitations of the traditional PI insurance model—overcomplicated policies, outdated risk assessments, and a general lack of innovation.
“We wanted to completely reimagine PI from the ground up,” Jonathan explains. “Financial services have moved ahead in so many ways, but insurance, particularly in the commercial space, has remained stagnant. It was about time things were done differently, not just for advisers but for their clients as well.”
This vision led to the birth of BareRock, which officially launched in April last year after four years of meticulous planning and development. Unlike traditional insurance firms, BareRock was designed from the ground up with a digital-first approach, removing inefficiencies and making the entire process seamless for financial advisers.
Start with simplifying
One of BareRock’s standout innovations is its streamlined and accessible policy structure. Traditional PI insurance policies are often weighed down by excessive legal jargon and unnecessary complexity, creating barriers for advisers who simply need clear, effective coverage.
“We’ve significantly simplified policy wording, reducing it by 5,000 words compared to other market offerings,” Jonathan shares. “By doing this, we’ve not only made policies more accessible and easier to understand but also broadened the coverage itself.”
Another key issue BareRock addresses is the long-standing conflict between PI insurance requirements and FCA regulations. Under traditional models, advisers must report any complaints to their insurer immediately, often triggering a formalised and rigid dispute process—even for minor issues. BareRock, however, has introduced an alternative.
“We’ve given advisers more autonomy in handling minor complaints, allowing them to resolve issues within the FCA’s three-day rule without unnecessary insurer interference. This reduces friction and ensures that end clients receive better, faster resolutions.”
In innovation we trust
Trust—or the lack thereof—has long been a challenge in the PI insurance space. Many advisers feel they are being unfairly penalised by insurers who lack a nuanced understanding of their business . BareRock is changing this by incorporating a more sophisticated, data-driven approach to risk assessment.
“The industry has historically been risk-averse to a fault, leading to a lack of innovation,” Jonathan explains. “But we believe there’s a better way. Rather than using broad, outdated metrics, we assess firms on a much deeper level, focusing on conduct, culture, and client-centricity rather than just product transactions.”
This approach has resulted in BareRock’s unique tiered membership program, rewarding well-managed firms with better premiums and enhanced benefits.
“Our ‘Good Companies in Good Company’ approach ensures that responsible firms aren’t paying for the mistakes of others . We recognise and reward excellence, rather than simply reacting to claims.”
A rewarding membership model
BareRock’s membership program is a stark departure from traditional PI insurance models. It consists of three tiers—Club, Club 10, and Club 20. All firms insured via BareRock become members of the BareRock Club, with Club 10 & Club 20 offering premium discounts based on the firm’s risk profile and adherence to best practices.
“We’re moving away from the legacy model that simply raises premiums based on product count,” Jonathan explains. “Instead, we assess firms based on their behaviour, client care, and risk management processes.”
This proactive approach is complemented by a hands-on risk management strategy. Unlike traditional insurers who often only interact with clients at renewal time, BareRock works with firms throughout the year, helping them improve their risk profile and, in turn, access better pricing.
“It’s similar to how other providers reward positive health behaviours in personal insurance. We’re applying the same principles to PI insurance—encouraging good practice, rewarding firms for excellence, and ultimately improving outcomes for everyone involved.”
The power of digital innovation
One of BareRock’s most significant breakthroughs is its digitally enabled underwriting process. While most of the industry still relies on PDFs, and manual processing, BareRock’s fully digital application, enhanced with behavioural science and intuitive design, intelligently captures each firm’s unique characteristics while delivering a seamless online experience.
“Traditional PI insurance relies on static, fillable PDFs and free-text responses, which introduce bias and inefficiency,” Jonathan says. “Our system is entirely digital, enabling firms to collaborate on their applications, complete sections non-sequentially, and receive highly personalised pricing.”
The digital application form utilises over 50 premium modifiers, creating bespoke policy ratings tailored to each firm’s specific risk profile. And as BareRock continues to gather data, these insights will become even more sophisticated, with the potential to introduce over 150 modifiers in the future.
“Our pricing is calculated to the penny, ensuring firms are assessed on their individual merits rather than broad market assumptions,” Jonathan notes. “This means fairer pricing and better coverage for those who deserve it.”
Aligning and advocating
Beyond its innovative approach to insurance, BareRock is also committed to fostering financial education and wellbeing. The company has partnered with the Institute for Financial Wellbeing (IFW) and the Just Finance Foundation, further reinforcing its mission to support responsible financial practices.
“Our partnership with IFW validates what we’ve been working towards—transforming the PI landscape and recognising firms that go the extra mile in client care,” Jonathan explains. “Similarly, our support for the Just Finance Foundation allows us to contribute to financial literacy for children, helping to break negative financial cycles from an early age.”
By embedding itself within these initiatives, BareRock is positioning itself as more than just an insurer—it’s a force for positive change within the financial services sector.
What’s next?
As BareRock approaches its first renewal cycle, the company is in a listening phase, gathering insights from its clients to refine and improve its offerings further.
“We’re excited to see what our data tells us,” Jonathan says. “This is the first time anyone has collected this depth of information in the PI space, and it will allow us to provide even more targeted risk management advice.”
Looking ahead, BareRock is exploring AI-driven innovations, particularly in the area of complaint resolution. Additionally, the company aims to establish its membership tiers as an industry-recognised measure of quality, setting a new benchmark for PI insurance standards.
“Our goal is simple: to continue innovating and stay ahead of the curve. We want to be the company that challenges norms, raises standards, and ultimately delivers better outcomes for financial advisers and their clients.”
A disruptor with a purpose
BareRock isn’t just another PI insurance provider—it’s a company on a mission to transform an industry that has long resisted change. Through digital innovation, a client-first approach, and a commitment to rewarding excellence, BareRock is proving that PI insurance can be both effective and empowering.
As Jonathan puts it, “We’re here to shake things up. And if our early adopters are right, we’ve even made PI insurance ‘sexy’ —something I never thought I’d hear in my career!”
About Jonathan Newell
As CEO and lead underwriter, he draws on his deep industry knowledge to steer BareRock’s underwriting approach, while fostering a culture of collaboration and creativity that empowers the team to deliver on their mission: providing not just great customer outcomes, but also an unparalleled user experience that sets them apart in the industry.
His extensive background in insurance broking, underwriting and risk assessment, combined with his forward-thinking approach, ensures BareRock maintains its position at the forefront of PI underwriting innovation, using data-driven insights to understand and serve our clients better.
