FSA still deliberating on transparency
Financial watchdog is still trying to reach a final position on commission disclosure, writes Andrew Tjaardstra
In its snappily titled discussion document, Transparency, disclosure and conflicts of interest in commercial insurance, released in March, the regulator shows that it is still preoccupied with customers that do not ask brokers for commission disclosure and argues that the methodology for calculating commissions may also need to be revised.
In the case of contingent commissions, it is worried brokers are not giving "a likely amount payable" founded on a profit or volume-related basis. The FSA says
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