Insurer Liberty Speciality Markets says it will meet the higher Financial Ombudsman Service limit, but not for defined benefit transfers.
In an update Liberty notes a gap emerged in cover between when the policy statement was released and the implementation date of the higher limit.
A statement given to Money Marketing says Liberty has requested clarification on the changes and has scheduled a meeting with both FCA and FOS.
It also says it will be in a position to assess any required alterations to insurance policies after this.
But the statement adds the amended cover will not apply to any DB pension transfers transacted after the 1 April, which will need to be underwritten on an individual basis.
Yesterday Money Marketing reported firms have five days to report any professional indemnity insurance polices that are not compliant with the new FOS award limit to the FCA.
There has been a backlash from advisers who say they cannot renegotiate their insurance contracts in such a short time.