It may surprise you to know that 99% of Professional Indemnity Claims never make it to Court and that really is a good thing.
I myself have never had any claims go to Court but they have been very close. It adds a huge cost to the value of a claim and this can be avoided by use of experienced solicitors skill (which is why insurers pick very good solicitors to handle claims).
Or instead it can lead to the use of an independent, impartial, and respected third party (called the conciliator or mediator) to help in settlement of a dispute. This is a quicker, less humilating and above all cheaper way of resoving the matter, instead of opting for arbitration or litigation.
Unlike an arbitrator, a mediator has no legal power to force acceptance of his or her decision but relies on persuasion to reach an agreement. Also called conciliation. Good experienced mediators are highly valued due to their skill to Chair a meeting and diplomatically bring about a compromise to each party.
Another way claims costs are kept down and therefore premiums.