PROD 1.7 Application of PROD 7

1. (1)

   PROD 7 applies to:

   1. (a)

      a funeral plan provider; and

   2. (b)

      a funeral plan intermediary,

   with respect to:

   1. (c)

      manufacturing funeral plan products; and

   2. (d)

      distributing funeral plan products.

A Gibraltar-based firm must also comply with the provisions in PROD 7 (Product governance: funeral plans).

1. (1)

   For the purposes of PROD 7, a funeral plan intermediary is a manufacturer of a funeral plan product where an overall analysis of their activity shows that they have a decision-making role in designing and developing a funeral plan contract for the market.

2. (2)

   A decision-making role will be assumed, in particular, where a funeral plan intermediary autonomously determines the essential features and main elements of a funeral plan contract, including any of its price, costs, target market or guarantee rights, which are not substantially modified by the funeral plan provider.

3. (3)

   Personalisation of and adaptation of existing funeral plan products in the context of funeral plan distributions for individual customers, as well as the design of tailor-made contracts at the request of a single customer, are not manufacturing.

PROD 7 applies to a firm with respect to activities carried on by it, or its appointed representative, in relation to:

1. (1)

   a funeral plan product; and

2. (2)

   a subsisting funeral plan.