Insurance mediation activities able to be carried on by an appointed representative. This table belongs to PERG 5.13.3 G.
Type of contract of insurance |
Regulated activities an appointed representative can carry on |
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Related provisions for ICOBS 2.5.2B
41 - 54 of 54 items.
In the absence of evidence to the contrary, the firm should presume that the complainant would not have bought the payment protection contract he bought if the sale was substantially flawed, for example where the firm:(1) pressured the complainant into purchasing the payment protection contract; or(2) did not disclose to the complainant, in good time before the sale was concluded, and in a way that was fair, clear and not misleading, that the policy was optional; or(3) made the
The exemptions in Part V of the Financial Promotion Order concern financial promotions relating to deposits and contracts of insurance other than life policies. The exemptions may be combined with exemptions in Part IV and1 Part VI (see PERG 8.11.3 G (Types of exemption under the Financial Promotion Order).11
The effect of SUP 16.1.1 R is that this section applies to every firm except: (1) an ICVC; (2) an incoming EEA firm or incoming Treaty firm, which is not: (a) a firm of a type listed in SUP 16.1.3 R as a firm to which section SUP 16.6 or SUP 16.1214 applies;1424(b) an insurer with permission to effect or carry out life policies;(3) a UCITS qualifier.
The corresponding PRA funding classes and corresponding activity groups referred to in FEES 6.5A.2 R and FEES 6.5A.6 R respectively are as follows:
FCA provider contribution class |
Corresponding PRA funding class |
Corresponding activity group |
Deposit acceptor's contribution class |
Deposits |
A.1: Deposit acceptors |
Insurers - life contribution class |
Life and pensions provision |
A.4: Insurers - life |
Insurers - general contribution class |
General insurance provision |
A.3: Insurers - general |
Home finance providers and administrators' contribution class |
None |
A.2: Home finance providers and administrators |
(1) 1Where a firm has outsourced activities to a third party processor other than advising on life policies3, GEN 4.3.1 R does not apply to that third party processor when acting as such, so long as the outsourcing firm ensures that the third party processor and its employees comply with that rule as if it was the firm and they were employees of the firm.(2) Where an appointed representative has outsourced insurance mediation activities other than advising on life policies3
10In order to allocate a share of the amount of specific costs and compensation costs to be funded by an individual participant firm, the funding arrangements are split into twelve classes: the deposits class; the life and pensions provision class; the general insurance provision class; the investment provision class; the life and pensions intermediation class; the home finance intermediation class, the investment intermediation class; the general insurance intermediation class;
(1) 12Subject to (2), (3) and (4),15 the exclusions apply, in relation to any activity carried on by a local authority.15(2) The exclusion relating to the regulated activities of:(a) dealing in investments as agents;(b) arranging (bringing about) deals in investments;(c) making arrangements with a view to transactions in investments;(d) assisting in the administration and performance of a contract of insurance; and(e) advising on investments;applies to any activity carried on
24In relation to the above RDR activities a qualification in the table in Part 2 will meet the qualification requirement in relation to the activity listed in column 3 of that table, for the purpose of TC 2.1.10E(2), to the extent set out below:
- (1)
where an ‘a’ appears in the fourth column of the table in Part 2 the qualification will fully meet the qualification requirement on and after, 31 December 2012; and
- (2)
where a ‘b’ appears in the fourth column of the table in Part 2 the qualification will fully meet the qualification requirement until 31 December 2012. On and after 31 December 2012 this must be combined with qualification gap-fill. This gap-fill constitutes additional structured continuing professional development, which need not be by examination, completed and verified by an accredited body.
24Part 1B: The non-Retail Distribution Review activities (non-RDR activities)
Activity Number |
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7 |
Advising on long-term care insurance contracts |
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8 |
Advising on investments in the course of corporate finance business |
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9 |
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11 |
Undertaking the activity of a pension transfer specialist |
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14 and 10 |
Managing investments and/or undertaking the activity of a broker fund adviser |
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20 |
Advising on a regulated mortgage contract for a non-business purpose; or Arranging (bringing about) an execution-only sale of a regulated mortgage contract for a non-business purpose, excluding variations to an existing regulated mortgage contract, except where the effect is to change all or part of the regulated mortgage contract from one interest rate to another14 |
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21 |
Advising on equity release transactions; or Arranging (bringing about) an execution-only sale of an equity release transaction, excluding variations to an existing equity release transaction, except where the effect is to change all or part of the equity release transaction from one interest rate to another14 |
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1421A |
Designing scripted questions for an execution-only sale of a regulated mortgage contract for a non-business purpose |
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22 |
Designing scripted questions for an execution-only sale of an 14equity release transaction 1414 |
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24Activity Number |
Non-RDR Activity (overseeing activity) |
15 |
Overseeing on a day to day basis operating a collective investment scheme or undertaking activities of a trustee or depositary of a collective investment scheme. |
16 |
Overseeing on a day to day basis safeguarding and administering investments or holding client money. |
17 |
Overseeing on a day to day basis administrative functions in relation to managing investments: (i) arranging settlement; (ii) monitoring and processing corporate actions; (iii) client account administration, liaison and reporting including valuation and performance measurement; (iv) ISA or CTF administration; (v) investment trust savings scheme administration. |
18 |
Overseeing on a day to day basis administrative functions in relation to effecting or carrying out contracts of insurance which are life policies: (i) new business administration; (ii) policy alterations including surrenders and policy loans; (iii) preparing projections; (iv) processing claims, including pension payments; (v) fund switching. |
19 |
Overseeing on a day to day basis administrative functions in relation to the operation of stakeholder pension schemes: (i) new business administration; (ii) receipt of or alteration to contributions; (iii) preparing projections and annual statements; (iv) administration of transfers; (v) handling claims, including pension payments; (vi) fund allocation and switching. |
23 |
Overseeing non-advised sales on a day to day basis of equity release transactions. |
The exemption can also be used in certain circumstances where an intermediary is advertising its services as an intermediary. This is because advising on and arranging deposits and contracts of insurance other than life policies are not controlled activities. This means that an unauthorised intermediary offering to find the best rates on deposits may identify himself in the financial promotion as he will not be carrying on a controlled activity. This is provided that the financial
(1) A firm which receives and holds client money in respect of life assurance business in the course of its designated investment business that is not MiFID business may:(a) under CASS 7.10.3 R (2) elect to comply with the client money chapter in respect of such client money and in doing so avoid the need to comply with the insurance client money chapter which would otherwise apply to the firm in respect of client money received in the course of its insurance mediation activity;
The regulated activity of dealing in investments as principal applies to specified transactions relating to any security or to any contractually based investment (apart from rights under funeral plan contracts or rights to or interests in such contracts). The activity is cut back by exclusions as follows.(1) Of particular significance is the exclusion in article 15 of the Regulated Activities Order (Absence of holding out etc). This applies where dealing in investments as principal
Employers and their contracted service providers 6may communicate with employees on matters which involve controlled investments. For example, work-related insurance, staff mortgages,6personal pension schemes (including stakeholder schemes) and other employee benefit schemes other than occupational pension schemes. Interests under the trusts of an occupational pension scheme are not a controlled investment (see paragraph 27 (2) of Schedule 1 to the Financial Promotion Order).In