2022 Insurance Brokers Code of Practice update
On Thursday 14 April 2022, NIBA announced some amendments to the 2022 Insurance Brokers Code of Practice.
“Since the launch of the 2022 Insurance Brokers Code of Practice in March, I have been overwhelmed by the level of support for the new Code and the respective changes from our members,’’ said Philip Kewin, NIBA Chief Executive Officer.
‘’The Code was originally conceived as a living document, one that upholds the professionalism of the industry and demonstrates brokers’ commitment to quality client outcomes. Having had the opportunity to speak with members and review the feedback that NIBA has received so far, the NIBA Board has made some amendments to the Code that was published on 1 March 2022. These changes strengthen the commitment to transparency and professionalism that is ingrained within the Code,” Kewin added.
The Code has been amended to reflect the following changes and Subscribers can access the most up-to-date version of the Code by visiting www.niba.com.au/code.
In section 6.1, the remuneration disclosure requirements have been expanded to include all individual and small business clients, not just those that fall under the definition of retail clients (as defined under the Corporations Act). For the purposes of the Code, a small business means a business employing less than 20 people, or if the business involves the manufacture of goods less than 100 people.
Section 7.2 has been amended to allow Subscribers who operate under a general advice model to comply with their obligations under the Code, while still providing general advice
Member Implementation Guide
Accompanying the Code is a Member Implementation Guide that provides more information as to the intent of the Code obligations, as well as suggestions for Subscribers when deciding how to implement the Code in their respective businesses. This guide will be updated regularly to reflect changes to the Code, community expectations, industry best practices and feedback from Subscribers and other stakeholders.
A copy of the Member Implementation Guide is available by visiting www.niba.com.au/code
Additional Code of Practice webinar
In response to the overwhelming demand for the Code of Practice webinar, we will now be holding another webinar on Monday 16 May 2022 from 2:30 pm – 4:00 pm for those members who missed out on the previous two webinars. The webinar will provide members with an overview of some of the key changes to the Code including:
- Code principles
- terms of engagement
- changes to disclosure
- remuneration
- vulnerable clients, and
- breach reporting obligations.
The webinar will also allow members to ask any questions that are not answered by the Member Implementation Guide. Members are urged to register for the webinar as soon as possible, as places are limited.
Members who are unable to attend any of the sessions will be able to watch the webinar on-demand after the event has concluded.
If you have any questions about the 2022 Insurance Brokers Code of Practice, Member Implementation Guide or webinar, please email info@niba.com.au