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Terms of Business

This document is effective from 1st December 2018 and supersedes all Terms of Business previously issued by us. It sets out the terms upon which we agree to act for our clients and contains details of our regulatory and statutory responsibilities. It also sets out some of your responsibilities. Please read it carefully.

Please contact us immediately if there is anything in these Terms of Business which you do not understand or with which you disagree.

ABOUT OUR COMPANY

Broker2U is an Appointed Representative of TEn Insurance Services Ltd of Unit D1, Regent Park, Summerleys Road, Princes Risborough, Bucks, HP27 9LE, which is authorised and regulated by the Financial Conduct Authority (FCA). TEn Insurance Services Register number is 314593. You can check this information on the FCA’s Register by visiting the FCA’s website at www.fsa.gov.uk/register/home.do or by contacting the FCA on 0800 111 6768.

Our address is Willow Cottages, Gay Bowers Rd, Danbury, Essex CM3 4JQ

OUR PRODUCT SELECTION PROCESS

For personal insurances we select products from a wide range of insurers except for:

  • Uninsured Loss Recovery, Motor Breakdown, Key Care, Home Emergency and Pet insurance, where products are selected from one insurer; and
  • GAP insurance, where we select products from a limited number of insurers.

If we ever choose a personal insurance product which falls outside the above selection criteria, we will tell you before you agree to take out or renew that particular policy.

For business insurances we will inform you at inception and at every renewal how we made our product selection

THE SERVICES WE PROVIDE

For all types of sale, we will provide you with advice in relation to your insurance needs.

METHODS OF COMMUNICATION

We will normally communicate with you by post, telephone and, where available, fax or e-mail, in addition to any meetings we may have with you.  Please let us know if you would prefer not to receive communications by any medium.

INSURER SECURITY

Whilst we monitor the financial strength of the insurers with whom we place business it should be noted that the claims-paying ability of even the strongest insurers could be affected by adverse business conditions. We cannot, therefore, guarantee the solvency of any insurer or underwriter.

A liability for the premium, whether in full or pro rata, may arise under policies where a participating insurer becomes insolvent.

RISK INFORMATION

The terms of any insurance that we arrange on your behalf will be based upon the information provided by you to us or to your insurers.

If you are a consumer (an individual buying insurance wholly or mainly for purposes unrelated to your trade, business or profession) you must take reasonable care to answer all questions put to you about your proposed insurance fully, honestly and to the best of your knowledge. If you do not understand the meaning of any question, or if you do not know the answer, it is vital that you tell us. Once cover has been arranged, you must immediately notify us or your insurer of any changes to the information that has been previously provided. The most serious consequence of failing to provide full and accurate information before you take out insurance, or when your circumstances change, could be the invalidation of your cover. In that instance it could mean that a claim would be rejected.

If you are a commercial customer, or someone buying insurance mainly for purposes related to your trade, business or profession, you must disclose all ‘Material Facts’ to us or your insurers both at the outset and throughout the period of insurance cover. Material Facts are all the items of information that may influence the insurer’s decision over cover or the terms of your insurance. The most serious consequence of failing to disclose material information before you take out insurance and throughout the period of insurance could be the invalidation of your cover. In that instance it would mean that a claim will be rejected.

You are advised to keep copies of any correspondence you send to us or direct to your insurers.

OUR REMUNERATION           

Our remuneration will be either a fee, as agreed with you, or brokerage, which is a percentage of the insurance premium paid by you and allowed to us by the insurer with whom the insurance policy is placed.

  • Providers of motor uninsured loss legal services, when instructed to act on your behalf when arranging credit for the provision of replacement vehicles.

For each insurance policy, including any subsequent renewal, you have a right to request information regarding any remuneration that we have received because of placing your insurance business.

METHODS OF PAYMENT TO TEN INSURANCE (AS BROKER2U DO NOT COLLECT or HOLD CLIENT MONEY)

TEn Insurance normally accept payments by cheque or bank transfer. Where the total amount payable does not exceed £5,000 payment may be made by credit/debit card. It may also be possible to spread payments through insurers’ instalment schemes or a credit facility TEn Insurance have arranged with a specialist premium finance provider. When offering premium finance, please note that TEn Insurance work with Close Premium Finance Ltd.

TEn Insurance may retain your credit/debit card information to enable them to collect future premium payments. They will seek your specific agreement each time we wish to use this information for collecting a premium payment and will not collect any premium without such agreement. Should you wish them to discontinue retaining your credit/debit information at any time, please notify them by telephone or in writing.

We will give full information about premium payment options when we provide quotations and at renewal.

PERSONAL CREDIT CHECKS

When you ask us to obtain quotations for personal insurance products, you should be aware that some of the insurers we approach will carry out personal credit checks as part of the underwriting process. This means they will review information held by a credit reference agency. Whilst a record of the search will be added to your credit record, we are advised this will not have any detrimental effect on your credit rating or history.

To comply with Consumer Credit legislation, providers of personal credit are required to carry out affordability assessments before making advances of credit. This means that whenever TEn Insurance are asked to arrange personal premium finance, they will pass your name, address and date of birth to the finance provider, to enable it to carry out an assessment. In assessing your application, the provider may search information held by a credit reference agency. Please note the credit reference agency will add details of the search and your application to their records, if your application proceeds.

SETTLEMENT TERMS

You are responsible for the prompt settlement of insurance premiums so that TEn Insurance can make the necessary payments to your insurers.

TEn Insurance have no obligation to fund any premiums on your behalf and cannot be held responsible for any loss which you may suffer because of a policy being cancelled or otherwise prejudiced due to the late payment of a premium where the delay is attributable to you.

CREDIT AGREEMENT PAYMENT DEFAULTS

If any direct debit or other payment due in respect of a credit agreement entered into with our suggested provider of premium finance to pay insurance premiums, associated fees and charges is not met when presented for payment, or if you end or do not complete such credit agreement, you acknowledge and agree that it may be necessary for us or the premium finance provider to cancel on your behalf the insurance policies being paid by the said agreement, unless you immediately make other arrangements to pay the remaining balance of the insurance premiums.  After cancellation, you agree that you will be responsible for any time on risk charge still outstanding and the finance provider’s reasonable costs after application of any refunds allowed by the insurers. You will be responsible for putting in place any alternative insurance arrangements you need, unless you have been able to satisfy the requirements we may have in such a situation to provide an alternative solution.

PREMIUM REFUNDS

Unless you tell us otherwise at the time a credit note is issued TEn Insurance will hold any premium refunds we receive from your insurers against future premiums payments. If your insurances with us are not subsequently renewed then the refund will be made after TEn Insurance become aware that cover has been discontinued.

HANDLING CLIENT AND INSURER MONEY

Money collected for onward transmission to insurers and return premiums due to clients from insurers is held by our Principal, TEn Insurance Services, in a Client Bank Account, under a Non-Statutory Trust in accordance with FCA rules. The Deed of Trust permits our Principal to use the account to make advances of credit from time to time to our clients, to fund their premiums, subject to strict conditions. In dealing with us you agree to TEn Insurance holding client money in this way. A copy of the Deed of Trust is available on request.

For some transactions, please note that client money may pass through other authorised intermediaries before the insurer receives it.

Where money is collected as agent of the insurer it will also be held by our Principal in the same Client Bank Account.

Client money will be deposited with one or more approved banks, a list of which is available on request. Please notify us immediately if you do not wish us to use any bank or banks on this list.

Interest will not be paid to clients in respect of money held in client bank accounts.

CONFIDENTIALITY

All information provided by our clients is treated as confidential and only disclosed in the normal course of negotiating, arranging and administering your insurance. This may include disclosing information to agents and service providers such as loss adjusters and approved contractors.

With a few exceptions, for example information requested by a court, a regulatory body, or information which is already in the public domain, we will not release information to any other party without your consent.

Calls to TEn Insurance Services may be recorded for monitoring and training purposes.

We & TEn Insurance are registered under the Data Protection Act 1998 and undertake to comply with the Act in all our dealings with personal data.

QUOTATIONS

Unless stated otherwise in our documentation all quotations provided for new insurances are:

  • valid only for a period of 30 days from the date of issue and
  • subject to completion of the insurer’s Proposal Form or a signed and dated Statement of Facts.

You should be aware that quotations may change or be withdrawn if the information given to us or your insurers in proposal forms or declarations differs from that provided at the time the quotation was issued.

CHANGES TO YOUR COVER

We will normally deal with requests to increase or amend cover on the day your instructions are received, or the next working day if a weekend or public holiday. Sometimes changes cannot be processed without obtaining additional information. If additional information is required we will contact you as quickly as possible.

We will confirm changes to your policy, once agreed, in writing. We will also advise you of any extra premiums you must pay or premiums TEn Insurance must return to you.

RENEWALS

If you elect to pay for your policy by direct debit the renewal advice will confirm the new monthly instalments to be taken by direct debit

For all other methods of payment, the policy will not be automatically renewed and you must contact us prior to the renewal date and advise us to continue cover by providing payment. If payment is not received from you the policy will lapse upon the renewal date.

RECEIPT OF INSTRUCTIONS

We do not consider instructions to arrange or change cover sent to us by post, electronic mail or facsimile, or left on answering equipment, to have been received until they reach the relevant personnel in our offices.

We do not accept responsibility for instructions which do not reach us due to failures in the postal, electronic or telecommunications systems.

DOCUMENTATION

Our aim is to produce documentation and correspondence in a clear and understandable format. In the event of any uncertainty we would ask you to let us know immediately. Our staff are always happy to clarify the cover provided. You should check all policy documentation to ensure that the details are correct and the cover provided meets with your requirements. Any errors should be notified to us immediately.

All policies contain conditions and exclusions and some contain warranties and excesses. It is your responsibility to examine the document to familiarise yourself with these. A breach of a policy condition may result in non-payment of a claim and breach of a warranty may invalidate the cover if it is not complied with precisely

We recommend that you keep policy documents for as long as a claim is possible under the policy. If your policy includes Employers’ Liability insurance it is prudent to keep a copy of all Employers’ Liability Certificates issued.

TRANSFERRED BUSINESS

If we take over the servicing of insurance policies which were originally arranged through another insurance broker or intermediary or directly with an insurer we do not accept liability for any claim arising out of the advice given by that broker, intermediary or insurer, nor for any errors, omissions or gaps in your current insurance protection.

We would ask you to contact us without delay should any aspect of a policy which has been transferred to us cause you concern or if you need an immediate review. Otherwise we will endeavour to review all transferred policies as they fall due for renewal.

MAKING A CLAIM

Many insurers provide a 24-hour Helpline in respect of claims and you should consult your policy documentation for contact details.

Please ensure that you report all incidents that could give rise to a claim as soon as you become aware of them, either by contacting your insurer on their helpline or by telephoning our office. You will be advised if you need to complete a claim form or produce documentation to support your claim.

In certain circumstances late notification may result in your claim being rejected.

If the claim involves damage to your property, please do not dispose of damaged items and/or authorise repair work (except in an emergency or to prevent further damage) until your insurers or we advise that you can.

If your claim involves damage to third party property or injury to persons please pass copies of all correspondence, including solicitors’ letters, to us immediately and unanswered. Any attempt to negotiate or respond to the incident without prior reference to your insurers or us might prejudice your cover.

If TEn Insurance act on behalf of an insurer in negotiating and settling claims they will inform you that they will be acting on behalf of the insurer, not you, at the point of the claim.

You should be aware that a claim arising after renewal of the policy has been invited might affect the assessment and acceptance of renewal by your insurers.

CONFLICTS OF INTEREST

As independent insurance brokers we generally act as agent of our client.  We are subject to the law of agency which imposes certain duties on us. We also have proper regard for the interests of others, including the insurers for whom we also act.

Where we become aware of any actual or potential conflict of interest we will inform you of the situation, the options available to you and obtain your consent before we carry out your instructions.

COMPLAINTS PROCEDURE

We recognise the importance of service and set ourselves high standards. Should there be an occasion when we do not meet your expectations we are equally committed to dealing with any complaint in a thorough and professional manner.

If you wish to register a complaint please contact us:

  • In writing, addressed to Deborah Norton,
  • Willow Cottages, Gay Bowers Rd Danbury, Essex CM3 4JQ.
  • By telephone on 01245 226318
  • By email to Deborah@broker2u.co.uk

If you cannot settle your complaint with us you may be entitled to refer it to the Financial Ombudsman Service.

You can request a copy of our procedures for dealing with complaints at any time.

COMPENSATION

We are covered by the Financial Services Compensation Scheme (FSCS).  You may be entitled to compensation from the FSCS if we cannot meet our obligations.  This depends on the type of business and the circumstances of the claim.

Insurance advising and arranging is covered for 90% of the claim, without any upper limit. For compulsory classes of insurance, insurance advising and arranging is covered for 100% of the claim, without any upper limit.

Further details about compensation scheme arrangements are available from the FSCS.

TERMINATION OF AUTHORITY

You may terminate our authority to act on your behalf with 14 days’ written notice or as otherwise agreed. Notice of this termination must be given in writing and will take effect from the date of receipt.  Termination is without prejudice to any transactions already initiated unless otherwise agreed in writing. You will be liable to pay for any transactions or adjustments effective prior to termination and we will be entitled to retain any and all fees or brokerage payable in relation to policies placed by us prior to the date of termination.

CANCELLATION RIGHT

If you take out a personal insurance policy through us which lasts for more than one calendar month you may cancel the cover up to 14 days from the later of:

  • The policy start date or the date you receive full policy documentation from us or your insurers
  • The renewal date or the date you receive full renewal documentation from us or your insurers

You will be informed if you have such a Cancellation Right in separate documentation.

Should you decide to exercise the Cancellation Right you will be entitled to a refund of premium less an appropriate pro rata charge for the period of cover given before the cancellation right was invoked. If the premium has not been paid, a charge may be made for the period of cover given prior to the exercise of the Cancellation Right.

Should any claim occur prior to the exercise of the Cancellation Right where the claim terminates the insurance cover, your insurers may not allow a refund of any of the premium paid.

If this Cancellation Right is not exercised within the 14-day period as stated above, and you decide to cancel the policy at a later date, the amount of any premium refund will depend upon the cancellation terms of your insurance policy.

To exercise the Cancellation Right you should contact us at our normal address or your insurers at the address shown on your policy.

CANCELLATION OF POLICIES

You have the right to cancel your policy at any time during the period of cover. If you wish to cancel your policy in circumstances other than as described in the section headed Cancellation Right, you may be entitled to a refund of part of your premium as long as no claims have occurred during the time you have been on cover.  The refund due may not necessarily be proportionate to the remaining period of cover and could represent the time on cover with an additional charge equal to three months premium.

Additionally, you should note the following:

  • Insurers do not normally allow refunds in cases where a minimum and deposit premium has been charged
  • The current Certificate of Insurance and/or the Cover Note must be returned with a letter confirming cancellation instructions and the date from which you wish cover to cease.
  • Cancellation of a direct debit does not necessarily cancel a policy and any balance of premium owing may be requested by the insurers.
  • Should you cancel cover due to revised terms applied by insurers following non- disclosure of material facts the charge for the time on risk may be based on the correct information and the correct premium.
  • If a claim has occurred under your policy, no refund will be given unless insurers have settled the claim on a non-fault basis, recovering all financial costs which may have been incurred. If you are paying by instalments these will continue to be collected unless the outstanding balance is settled in full.

When your policy ends or is cancelled, we will send you any documentation and information that you are entitled to on request.

LAW AND JURISDICTION

These Terms of Business shall be governed by and construed in accordance with English Law.  In relation to any legal action or proceedings arising out of or about these Terms of Business we both irrevocably submit to the exclusive jurisdiction of the English courts.

**YOU ARE DEEMED TO HAVE ACCEPTED THESE TERMS OF BUSINESS AND GIVE YOUR CONSENT FOR US TO OPERATE IN THE WAYS DESCRIBED, UNLESS YOU ADVISE US OTHERWISE WITHIN 7 DAYS OF RECEIPT.