TERMS OF BUSINESS STATEMENT AS OF 1/09/2021
These Terms of Business set out the general terms under which our firm will provide business services to you and the respective duties and responsibilities of both the firm and you in relation to such services. Please ensure that you read these terms thoroughly and if you have any queries we will be happy to clarify them. If any material changes are made to these terms we will notify you.
WITH THE CENTRAL BANK OF IRELAND
Murphy & Sheehy Insurances Ltd. (C1488) is regulated by the Central Bank of Ireland as an insurance intermediary registered under the European Union (Insurance Distribution) Regulations 2018; as an Investment Intermediary authorised under the Investment Intermediaries Act, 1995 Copies of our regulatory authorisations are available on request. The Central Bank of Ireland holds registers of regulated firms. You may contact the Central Bank of Ireland on 1890 777 777 or alternatively visit their website at www.centralbank.ie to verify our credentials.
CODES OF CONDUCT
Murphy & Sheehy Insurances Ltd. is subject to the Consumer Protection Code, Minimum Competency Code and Fitness & Probity Standards which offer protection to consumers. These Codes can be found on the Central Bank’s website www.centralbank.ie
Murphy & Sheehy Insurances Ltd. is a member of Brokers Ireland.
Our principal business is to provide advice and arrange transactions on behalf of clients in relation to General Insurance, Life, Pension & Insurance based investment products. A full list of insurers, product producers and lending agencies with which we deal is available on request.
We do not guarantee nor make representations in regard to, and expressly disclaim responsibility for the financial security of Insurance Companies and Product Producers with which we place business.
Fair and Personal Analysis
concept of fair and personal analysis describes the extent of the choice of
products and providers offered by an intermediary within a particular category
of life assurance, general insurance, mortgages, and/ or a specialist
area. The number of contracts and providers
considered must be sufficiently large to enable an intermediary to recommend a
product that would be adequate to meet a client’s needs. The number of
providers that constitutes ‘sufficiently large’ will vary depending on the
number of providers operating in the market for a particular product or service
and their relative importance in and share
of that market. The extent of fair
analysis must be such that could reasonably be expected of a professional
conducting business, taking into account the accessibility of information and
product placement to intermediaries and the cost of the search. In order to ensure that the number of
contracts and providers is sufficiently large to constitute a fair and personal
analysis of the market, we will consider the following criteria: the needs of the customer, the size of the customer order, the
number of providers in the market that deal with brokers, the market share of
each of those providers, the number of relevant
products available from each provider, the
availability of information about the products, the quality of the product and
service provided by the provider, cost, and any other relevant consideration.
GENERAL (NON-LIFE) INSURANCE SERVICES
We provide advice on and arrange products from the following ranges: Household, Motor (including Commercial & Fleet), Material Damage, Business Interruption, Public, Products and Employers Liability, Professional Indemnity, Clinical Trials, Medical Malpractice, libel & Slander, product recall, latent defect, Specialty, Legal Contingency, Marine.
We provide general insurance on a fair and personal analysis basis (providing services on the basis of a sufficiently large number of contracts and product producers available in the market to enable the firm to make a recommendation, in accordance with professional criteria, regarding which contract would be adequate to meet your needs.
We will also offer assistance to you in relation to processing claims on policies taken out with us and in seeking renewal terms on your cover. In some cases, we may be granted authority from an insurance undertaking to conduct tasks on their behalf, for which we will be remunerated. Where we place your business with this insurance undertaking under this authority you will be notified in advance of the placement. To ensure continuity of cover, where you have an existing policy which is due to expire and where we have been unable to contact you, we may put continuing cover in force whilst awaiting your instruction. You will be liable for any premium payable to the relevant insurer for the period of time between renewal and when we receive your instruction. You have the right not to avail of this service.
INVESTMENT INTERMEDIARY SERVICES
We are remunerated by commission for our investment intermediary services.
INSURANCE BASED INVESTMENT PRODUCTS
We are remunerated by commission and other payments from product producers on the completion of business for the advice we provide on our insurance based investment products
LIFE & PENSIONS/DEPOSIT & LIFE
We provide life assurance and pensions on a fair and personal analysis basis i.e. providing services on the basis of a sufficiently large number of contracts and product producers available in the market to enable us to make a recommendation, in accordance with professional criteria, regarding which contract would be adequate to meet your needs.
We will provide assistance to you for any queries you may have in relation to the policies or in the event of a claim during the life of the policy and we will explain to you the various restrictions, conditions and exclusions attached to your policy. However, it is your responsibility to read the policy documents, literature and brochures to ensure that you understand the nature of the policy cover; particularly in relation to PHI and serious illness policies.
Specifically on the subject of permanent health insurance policies we will explain to you; a) the meaning of disability as defined in the policy; b) the benefits available under the policy; c) the general exclusions that apply to the policy; and d) the reductions applied to the benefit where there are disability payments from other sources.
For a serious illness policy, we will explain clearly
to you the restrictions, conditions and general exclusions that attach to that
STATEMENT OF CHARGES
We may earn our remuneration on the basis of fee, commission and any other type of remuneration, including a non-monetary benefit or on the basis of a combination of these methods. A non-monetary benefit will only be accepted if it enhances the quality of the service to our clients
You may choose to pay in full for our services by means of a fee. Where we receive recurring commission, this forms part of the remuneration for initial advice provided. We reserve the right to charge additional fees if the number of hours relating to on-going advice/assistance exceeds 2 hrs.
In certain circumstances, it will be necessary to charge a fee for services provided. These are listed below. In other circumstances where fees are chargeable or where you choose to pay in full for our service by fee, we will notify you in writing in advance and agree the scale of fees to be charged if different from fees outlined below. Where it is not possible to provide the exact amount, we will provide you the method of calculation of the fee.
If we receive commission from a product provider, this
may be offset against the fee which we will charge you. Where the commission is
greater than the fee due, the commission may become the amount payable to the
firm unless an arrangement to the contrary is made.
A summary of the details of all arrangements for any fee, commission other reward or remuneration paid or provided to us which we have agreed with product providers is available in our office or on our website – https://murphysheehy.ie/
We may be remunerated by commission from insurers on completion of business. Details of this remuneration are available on request and on website Where an override commission is received, this will be disclosed to you in general terms.
The firm will charge you a fixed fee or a percentage of the insurance premium and levies for the following services provided for the inception, renewal, mid-term alteration and cancellation of:
Household: Up to a Max of €100
Private/ Commercial Motor: Up to a Max of €100
Commercial Business: Up to 30% of the premium
Claims Handling: €100.00 per hour
On occasion we may need to charge rates different to the above depending on the complexity of the case in question; we shall advise you of these charges in advance and before business is transacted.
On settlement of your account, we will forward to you all documents showing ownership of your policy i.e. Motor Certificate & Disc and Policy Schedules. Where a series of transactions are involved, we will normally hold each document until the series is complete and then forward them to you.
We will inform you of the amount of fee to be
charged. Where it is not possible to
provide the exact amount, we will provide you the method of calculation of the
Compliance charge 1%: this amount is applied to commercial policies and retained by us and is used to offset Central Bank charges and additional costs generated by compliance requirements and is included in total amount due.
Government levy 5%: this amount is collected from you and is passed to Government by Insurers and is included in total amount payable. Murphy & Sheehy Insurances Limited may receive commission from Product Financial Companies in respect of credit agreements.
Murphy & Sheehy Insurances Ltd incurs significant administrative costs when processing return premiums for clients and we reserve the right to charge you a fee equivalent to 30% of the return premium amount. In accordance with the Consumer Protection Code, this will not be charged without your prior written agreement.
At your request a return premium may be put towards full/part payment of another premium due to us; we will, however, require your written instruction to do so.
LIFE & PENSIONS
You may elect to deal with us on a fee basis.
Principles / Directors €285 to €435 per hour
Senior Advisers €285 to €435 per hour
Associates €285 per hour
Support staff €185 per hour
Additional fees may be payable for complex cases or to reflect value, specialist skills or urgency, our scale of fees for such cases range from a minimum of €285 per hour to a maximum of €435 per hour. We will notify you in advance and agree the scale of fees to be charged.
PERSONAL RETIREMENT SAVINGS ACCOUNTS (PRSAs) – FEES
Where advice is requested for PRSAs, the following hourly fees will apply:
Advisor fees: €285 – €435 per hour.
Support staff: €185 – €285 per hour.
Additional fees may be payable for complex cases or to reflect value, specialist skills or urgency. We will notify you in advance of providing you with these services. Our scale of fees for such cases range from a minimum of €285 per hour to a maximum of €435 per hour. If we receive commission from a product provider, this may be offset against the fee which we will charge you. Where the commission is greater than the fee due, the commission will become the amount payable to the intermediary unless an arrangement to the contrary is made.
Investments: The firm’s services does not include ongoing suitability assessments.
Insurance based investment products: The firm’s services does not include ongoing suitability assessments.
It is in your best interests that you review, on a regular basis, the products which we have arranged for you. As your circumstances change, your needs will change, your needs will change which may result in you having insufficient insurance cover and/or inappropriate investments. We would therefore advise that you contact us to ensure that you are provided with products best suited to your needs.
CONSUMERS: DUTY OF DISCLOSURE WHEN COMPLETING DOCUMENTATION FOR NEW BUSINESS/RENEWALS AND MIDTERM ADJUSTMENTS:
Section 14 (1) – (5) of the Consumer Insurance Contracts Act which is effective from 1st September 2021 alters consumers duty of disclosure:
You are required to answer all questions posed by us or the insurer honestly and with reasonable care – the test will be that of the ‘average consumer’. Average consumer as per Directive No. 2005/29/EC of the European Parliament and of the Council of 11 May 2005 is reasonably well informed and reasonably observant and circumspect, taking into account social, cultural and linguistic factors.
Specific questions will be asked. Where you do not provide additional information (after being requested to do so) it can be presumed that the information previously provided remains unchanged.
An insurer may repudiate liability or limit the amount paid on foot of the contract of insurance, only if it establishes that non-disclosure of material information was an effective cause of the insurer entering into the relevant contract of insurance and on the terms on which it did.
COMPLETED PROPOSAL FORMS/STATEMENT OF FACT:
proposal forms or Statements of Facts will be provided to you. These are important documents as they form
the basis of the insurance contract between the insurer and you the
consumer. You should review and confirm
that the answers contained within are true and accurate.
COMMERCIAL CUSTOMERS: NON-CONSUMER DISCLOSURE OF INFORMATION
It is essential that you should bring to our attention any material alteration in risk such as changes of address or use of premises. Any failure to disclose material information may invalidate your claim and render your policy void.
SUSTAINABILITY FACTORS – INVESTMENT/IBIPs/PENSIONS ADVICE
When providing advice, the firm does not consider the adverse impacts of investment decisions on sustainability. The firm will review this approach on an annual basis in January.
CONFLICTS OF INTEREST
It is the policy of our firm to avoid conflicts of interest in providing services to you. However, where an unavoidable conflict of interest arises we will advise you of this in writing before providing you with any service. A full copy of our conflicts of interest policy is available on request.
DEFAULT ON PAYMENT BY CLIENTS
We will exercise our legal rights to receive payments due to us from clients (fees and insurance premiums) for services provided. In particular, without limitation to the generality of the foregoing, the firm will seek reimbursement for all payments made to insurers on behalf of clients where the firm has acted in good faith in renewing a policy of insurance for the client. Product producers may withdraw benefits or cover in the event of default on payments due under policies of insurance or other products arranged for you. We would refer you to policy documents or product terms for the details of such provisions. Mortgage lenders may seek early repayment of a loan and interest if you default on your repayments. Your home is at risk if you do not maintain your agreed repayments.
Whilst we are happy to receive verbal complaints, it would be preferable that any complaints are made in writing. We will acknowledge your complaint in writing within 5 business days and we will fully investigate it. We shall investigate the complaint as swiftly as possible, and the complainant will receive an update on the complaint at intervals of not greater than 20 business days starting from the date on which the complaint is made. On completion of our investigation, we will provide you with a written report of the outcome. In the event that you are still dissatisfied with our handling of or response to your complaint, you are entitled to refer the matter to the Financial Services and Pensions Ombudsman (FSPO). A full copy of our complaints procedure is available on request.
We are subject to the requirements of the General Data Protection Regulation 2018 and the Irish Data Protection Act 2018. Murphy & Sheehy Insurances Ltd. is committed to protecting and respecting your privacy. We wish to be transparent on how we process your data and show you that we are accountable with the GDPR in relation to not only processing your data but ensuring you understand your rights as a client. The data will be processed only in ways compatible with the purposes for which it was given and as outlined in our Data Privacy Notice, this will be given to all our clients at the time of data collection. We will ensure that this Privacy Notice is easily accessible. Please refer to our website (https://murphysheehy.ie/), if this medium is not suitable we will ensure you can easily receive a copy by hard copy. Please contact us at email@example.com if you have any concerns about your personal data.
DISCLOSURE OF INFORMATION
Any failure to disclose material information may invalidate your claim and render your policy void.
We are members of the Investor Compensation Scheme operated by the Investor Compensation Company Ltd. See below for details.
INVESTOR COMPENSATION SCHEME
The Investor Compensation Act, 1998 provides for the establishment of a compensation scheme and the payment, in certain circumstances, of compensation to certain clients (known as eligible investors) of authorised investment firms, as defined in that Act.
The Investor Compensation Company Ltd. (ICCL) was established under the 1998 Act to operate such a compensation scheme and our firm is a member of this scheme. Compensation may be payable where money or investment instruments owed or belonging to clients and held, administered or managed by the there is no reasonably foreseeable opportunity of the firm being able to do so. A right to compensation will arise only: If the client is an eligible investor as defined in the Act; and
If it transpires that the firm is not in a position to return client money or investment instruments owned or belonging to the clients of the the clients of the firm; and
To the extent that the client’s loss is recognised for the purposes of the Act. Where an entitlement to compensation is established, the compensation payable will be the lesser of:
90% of the amount of the client’s loss which is recognised for the purposes of the Investor Compensation Act, 1998; or Compensation of up to €20,000.
For further information, contact the Investor Compensation Company Ltd. at (01) 224 4955.
BROKERS IRELAND COMPENSATION FUND
We are also members of the Brokers Ireland Compensation Fund. Subject to the rules of the scheme the liabilities of its members firms up to a maximum of €100,000 per client (or €250,000 in aggregate) may be discharged by the fund on its behalf if the member firm is unable to do so, where the above detailed Investor Compensation Scheme has failed to adequately compensate any client of the member. Further details are available on request.
Reen Financial Services Ltd directly holds 100 per cent of the voting rights or of the capital in (Murphy & Sheehy Insurances Limited insurances undertaking).
CONSUMER DUTIES AND RIGHTS UNDER THE CONSUMER INSURANCE CONTRACTS ACT 2019
New Business & Renewal
may cancel a contract of insurance, by giving notice in writing to the insurer,
within 14 working days after the date you were informed that the contract is concluded. This does not affect the notice periods
already provided under European Union (Insurance and Reinsurance) Regulations
2015 (S.I. No. 485 of 2015) or the European Communities (Distance Marketing of
Consumer Financial Services) Regulations 2004 (S.I No 853 of 2004) which is 30
days in respect of life policies, irrespective of whether the sale took place
on a non-face to face basis, and 14 days in respect of general policies and
only on sales that took policies and
only on sales that took place on a non-face to face basis (distance sales).
The giving of notice of cancellation by you will have the effect of releasing you from any further obligation arising from the contract of insurance. The insurer cannot impose any costs on you other than the cost of the premium for the period of cover.
This right to cancel does not apply where, in respect of life insurance the contract is for a duration of six months or less, or in respect of general insurance, the duration of the contract is less than one month.
You are under a duty to pay your premium within a reasonable time, or otherwise in accordance with the terms of the contract of insurance.
A court of competent jurisdiction can reduce the pay-out to you if you are in breach of your duties under the Act, in proportion to the breach involved.
POST-CONTRACT STAGE AND CLAIMS
If, in respect of the insurance contract the insurer is not obliged to pay the full claim settlement amount until any repair, replacement or reinstatement work has been completed and specified documents for the work have been furnished to the insurer, the claim settlement deferment amount cannot exceed.
- 5% of the claim settlement amount where the claim settlement amount is less than €40,000, or
- 10% of the claim settlement amount where the claim settlement amount is more than €40,000.
An insurer may refuse a claim made by you under a contract of insurance where there is a change in the risk insured, including as described in an “alteration of risk” clause, and the circumstances have so changed that it has effectively changed the risk to one which the insurer has not agreed to cover.
Any clause in a contract of insurance that refers to a “material change” will be interpreted as being a change that takes the risk outside what was in the reasonable contemplation of the both you and the insurer when the contract was concluded.
You must cooperate with the insurer in an investigation of insured events including responding to reasonable requests for information in an honest and reasonably careful manner and must notify the insurer of the occurrence of an insured event in a reasonable time. You must notify the insurer of a claim within a reasonable time, or otherwise in accordance with the terms of the contract of insurance.
If you become aware after a claim is made of information that would either support or prejudice the claim, you are under a duty to disclose it.
If you make a false or misleading claim in any material respect (and know it to be false or misleading or consciously disregards whether it is) the insurer is entitled to refuse to pay and to terminate the contract.
Where an insurer becomes aware that a consumer has made a fraudulent claim, they may notify the consumer advising that they are voiding the contract of insurance, and it will be treated as being terminated from the date of the submission of the fraudulent claim. The insurer may refuse all liability in respect of any claim made after the date of the fraudulent act, and the insurer is under no obligation to return any of the premiums paid under the contract.