Select commission uplifts risk breaking new bribery laws
Insurers offering brokers increased commission rates for new business must ensure they have adequate procedures in place or they could risk breaching the Bribery Act 2010, according to legal experts.
The Act, which is due to come into force in April next year, will introduce a corporate offence of failure to prevent bribery by persons working on behalf of a business. A business can avoid conviction if it can show that it has adequate procedures in place to prevent bribery.
Aviva recently announced an increased 3% commission for selected brokers delivering new business in the lead up to Christmas while Axa also currently offers a similar 2% commission uplift.
Fiona Carter, corporate
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