Not upheld: commission disclosure and transparency complaint against Tysers Insurance Brokers Limited

Decision detail

Summary

Mrs B, a leaseholder, complained to the FOS about Tysers Insurance Brokers Limited, questioning whether the broker was unfairly retaining the building insurance policy with the same insurer due to commission earned. Mrs B requested specific information about the commission amount paid at renewal. Tysers provided disclosure documents that included a Commission section stating both the percentage of premium and total amount earned. The ombudsman found that Tysers had exceeded its minimum regulatory obligations under ICOBS 6A.7.3R and ICOBS 6A.7.6R by providing detailed commission information, and therefore did not uphold the complaint.

The Ombudsman's reasoning

The ombudsman examined Tysers' obligations under ICOBS 6A.7.3R and ICOBS 6A.7.6R, which require brokers to disclose that commission is being accrued since 2023, but do not require disclosure of the specific amount. Tysers exceeded these minimum requirements by providing both the percentage and total amount earned. The ombudsman concluded that Tysers had acted fairly and satisfied its regulatory obligations, and therefore there was nothing further that could be fairly or reasonably required of the firm.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website