The National Insurance Brokers Association (NIBA) has decided to extend the implementation date for a section of the 2022 Insurance Brokers Code of Practice's (Code) dealing with remuneration from November 1, 2022, to November 1, 2023.
NIBA has extended the implementation date for Section 6.1 of the Code after discussions with brokers and their IT providers made the group realise that the changes required to implement some Code obligations cannot be completed before the scheduled implementation date in November 2022. However, all other Code obligations will commence in November 2022 as scheduled.
NIBA CEO Philip Kewin said the implementation guide will evolve as more examples arise as the representative body receives more queries regarding the Code's interpretation and implementation.
“We have always stated that the Code was intended to be a living document and that NIBA would make amendments to ensure the Code remains relevant to all members and their clients,” Kewin said. “As the realities of practical implementation become more apparent, we will continue to take on feedback and, if necessary, fine-tune where appropriate.”
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NIBA announced the new Brokers Code of Practice in March 2022, which will require insurance brokers to report other brokers who breach the code and identify and support vulnerable clients.
Kewin thanked NIBA members for their support and feedback since the Code was launched: “Having had the opportunity to speak with a number of brokers and attend various events and conferences since the Code was launched earlier this year, I have been heartened by the commitment to the Code and the standards of professionalism it enshrines.
“Self-regulation is a privilege, not a right, a privilege that brokers have earned through the demonstration of their commitment to professionalism and ethical behaviour. The 2022 Insurance Brokers Code of Practice demonstrates this commitment to clients, regulators, and the broader community and forms an important part of NIBA's response to the Treasury's Quality of Advice review.”
Kewin said NIBA will continue to engage with its members to ensure they are prepared for the Code's implementation. He also encourages members to contact the representative body at [email protected] if they require further guidance.
