GENERAL TERMS AND CONDITIONS OF TRADE

Regulation   

We, E H Ranson & Co, with our Head Office situated at 11 Coates Crescent, Edinburgh EH3 7AT, are Insurance Brokers.  We are authorised and regulated by the Financial Conduct Authority (FCA) to sell general insurance products. Our FCA register number is 522033.  You can check this on the FCA’s register by visiting the FCA’s website www.fca.org.uk or by contacting the FCA on 0800 111 6768.  

Our Service to You  

We act as an independent insurance broker and act on your behalf when arranging your insurance.  Our service includes advising you on your insurance needs, arranging your insurance cover with insurers to meet your requirements and helping you with any on-going changes you have to make.  

We offer a range of general insurance products and have access to a number of insurers with whom we place your insurance.  We will give you details of these insurers when we discuss your individual requirements and a full list of insurers is available on request. For legal expenses insurance, travel insurance and breakdown cover we only use the services of a limited number of Insurers.  

Disclosure of Information   

It is an offence to make false statements or withhold information to get insurance. You are required by law to take reasonable care to supply accurate and complete answers to all questions and to make sure that you have taken reasonable care to ensure, to the best of your knowledge, all the information that you supply is honest, true and correct. Failure to supply accurate and complete answers may mean that your policy is invalid and that it does not operate in the event of a claim.

It is important that you understand that any information, statements and answers, given by you to us or your insurer, are your responsibility. You are advised to keep copies of documentation, sent to or received from us, for your protection. 

Please consult us if you are in doubt on any aspect.  The duty to tell us about any change in your circumstances applies not only at commencement and renewal of your policy, but also at any time during the period of insurance.

Awareness of Policy Terms   

When a policy is issued, you are strongly advised to read it carefully; as it is that document, the schedule and any certificate of insurance that form the basis of the insurance you have purchased.  If you are in doubt over any of the policy terms and conditions please seek our advice promptly. Copies of all signed forms are given to you for your records.

Our Remuneration – Commission and Fees  

As an insurance broking business, the major part of our income is derived from commission that is paid to us by the insurers with whom we place business.  If you wish to know the level of commission that is payable, in respect of any specific insurance policy you may wish us to arrange, please ask.   In certain instances, particularly relating to the business of consumer customers (a consumer customer is an individual acting outside his trade, business or profession), we may wish to charge a fee.  Our fee structure is outlined as follows:     

In respect of Personal Insurances, we reserve the right to charge fees on the following basis:    

New business and the renewal of an existing policy - not exceeding £50.00  

Short period policies - not exceeding £50.00  

Mid-term adjustments - not exceeding £50.00  

Cancellation of a policy— not exceeding £50.00  

Cancellation due to the non-payment of money owed, the provision of inaccurate or incomplete information – a fee not exceeding £75.00  

In addition to the above, all cancellations will be processed NET of commission  

Any fee to be charged will be included as a specific item within any quotation that is given  

In respect of Commercial Insurances we reserve the right to charge a fee on the following basis:   

New business and the renewal of an existing policy - not exceeding £100.00  

When little or no commission income is earned - a total fee that will result in a total earning of no more than 20% of the insurer’s premium (excluding Insurance Premium Tax) in addition to our standard fee  

Mid-term adjustments or alterations to policies - not exceeding £50.00  

Cancellation of a policy – not exceeding £50.00  

In addition to the above, all cancellations will be processed NET of commission        

General, in respect of both Personal and Commercial Insurances  

From time to time our customers request special assistance in a variety of ways including those that may involve us in additional work, which is above and beyond our normal functions as an Insurance Broker.  In such cases we reserve the right to charge a fee for the work involved  

Stopped or returned cheques - £15.00  

A fee of £10.00 for any Recorded Delivery Letter issued by us in connection with a late payment  

Any fee to be charged will be included as a specific item within any quotation that is given  

Other Revenue  

In the course of our business additional revenue may be earned from a variety of sources:  

·          We may provide services to insurers that are not directly related to the services provided to you and we could receive remuneration in recognition of those services  

This remuneration may be a management or administration fee or revenue based upon the volume or profitability of insurance business placed with a given insurer over a specific period.  These payments recognise the services we provide to the insurer over that given period  

·          We receive income and commission from a small number of sources in respect of work fulfilled on behalf of our customers that are supplementary to the sale of a general insurance policy. Such income largely arises from the organisation of credit facilities to enable a customer to pay a premium by instalments and fees from solicitors carrying out uninsured loss recovery.  

We retain any such payments.  

Customer Protection Information   

It is our intention to provide you with a high level of customer service at all times. If there are occasions when we do not meet your standards please contact the Manager of the office with which you deal (either verbally or in writing) who will take details of your concerns.  

We will acknowledge your complaint in writing, advising you as to who is dealing with your concerns and attempt to address them within five working days.  If our investigations take longer we will provide a full response within four weeks or explain our position and provide timescales for a full response.  

If we cannot settle your complaint you may be entitled to refer it to the Financial Ombudsman Service at South Quay Plaza, 183 Marsh Wall, London, E14 9SR - www.financial-ombudsman.org.uk - telephone: 0845 080 1800.  

Client Money  

All client money received by us, in connection with our activities associated with the transaction of general insurance business, will be paid into a Non-Statutory Client Trust Bank Account.  This account will be operated in compliance with the relevant rules of the Financial Conduct Authority.  

In certain cases insurers grant us what is known as “Risk Transfer”.  In operational terms, where “Risk Transfer” applies, the premiums paid to us by clients are treated as belonging to the relevant insurers at the time that they are received by us rather than when they are transferred to the insurers concerned.  All funds, which fall within the scope of “Risk Transfer”, are co-mingled in the Non-Statutory Client Trust Bank Account with the client money.  However the relevant rules of the Financial Conduct Authority require that all funds placed in the Non-Statutory Trust Client Bank Account under the “Risk Transfer” arrangements are to be treated as subordinated to other client money.  

The money held in the Non-Statutory Client Trust Bank Account may earn interest to our benefit until transferred to the relevant insurers in accordance with their Terms of Business Agreements.   

By instructing us to place insurance on your behalf you give your informed consent to these Client Money procedures. If there are any matters which you do not understand, or do not accept, you should discuss them with us before proceeding.  

Financial Services Compensation Scheme (FSCS)  

We are covered by the FSCS.  You may be entitled to compensation from the scheme 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. Further information about the compensation scheme is available from the FSCS - www.fscs.org.uk - telephone: 020 7892 7300.  

Cancellation Period   

We will give you enough information and help so you can make an informed decision before you make a final commitment to buy your insurance policy.  However, if you are a consumer customer, you will have 14 days from the date you receive your policy documentation to change your mind and cancel the insurance contract (a consumer customer is an individual acting outside his trade, business or profession).  

The insurer is entitled to make a proportionate charge for the time during which cover has been in force.  In our case we will require an overall income, including any commission paid by the insurer, of £30.00 to cover our direct costs.  

The provisions, as outlined in the above two paragraphs, do not apply in respect of a travel and baggage insurance policy or similar short-term insurance of less than one month’s duration.  

 

E.H.Ranson & Co. Insurance Brokers