In current market practice, policyholders probably have only a vague idea of how much commission the broker will earn for investing a contract on their behalf. While the first draft of the DLI provided for mandatory prior disclosure of the amount of commissions received by insurance intermediaries, this proposal did not survive the final draft, which only requires an insurance intermediary to disclose the nature or nature of its remuneration. The advertising rules applicable to the sale of “pure protection products” – critical diseases, income protection and non-investment life insurance – under ICOBS were amended at the end of 2012 following the ASL`s Retail Distribution Review (RDR). The DLI has no influence on these rules. The buyer/seller confirms that he has received and signed, prior to the publication/receipt of this offer, a disclosure of the lessee`s interest in the transaction. Whenever a licensee provides such strata management services, strata Corporation licensee must submit several questions in writing. A copy of the written disclosure must also be made available to the lessee`s managing broker. (a) provide each party with a disclosure in a form approved by the Council, which includes that, where a consumer has additional information about the commission, such as.B. the amount claimed, the broker is not required by the rules to respond – although ICOBS reminds companies that the disclosure rule is considered to represent the insured in addition to the broker`s legal obligations, including the obligation to account for any secret profit and to avoid conflicts of interest. .

. .