Terms of reference

The full text of the Terms of Reference appears below and can be downloaded here.

2024 Insurance Brokers Code of Practice Review – Terms of Reference

Code Review Principles

The review of the Insurance Brokers Code of Practice (the Code Review) will be guided by the following principles;

    • Transparency – The Code Review will be conducted in an open and transparent manner. All submissions to the Code Review will be published on the NIBA website as well as all reports provided by the Code Reviewer.
    • Modernisation – Ensuring Code obligations meet or exceed current regulatory requirements, and the Code is fit for the evolving needs of broking clients.
    • Accessibility – in terms of clarity, enhancing understanding and simplification where possible under current regulation.
    • Flexibility – How the Code can meet the needs of all broking clients, including both sophisticated wholesale clients and Retail Clients as well as encourage best practice without being overly prescriptive.
    • Efficiency – How the Code can maintain or enhance client outcomes while reducing operational complexity.
 Scope of the review

In addition to the principles identified above, the review will also consider the following key issues:

    1. Any areas of the Code that no longer align with community expectations.
    2. Any areas of the Code that add a significant administrative burden that outweighs the benefit to clients.
    3. Whether the Vulnerable Client provisions remain fit for purpose taking into account relevant findings of the Deloitte review of insurers’ handling of flood claims and improvements in best practice.
    4. Changes to the General Insurance Code of Practice and any inconsistencies in client experience between direct and intermediated channels.
    5. Interaction of the Code with existing laws and regulations, including upcoming changes to be introduced as part of the government’s response to the Quality of Advice Review.
    6. How the Code can increase service standards and address issues identified within the Strata Insurance.