Renumeration For Our Professional Services
At Gallagher we are remunerated by both commission and/or fees. We offer all clients the option of paying solely by fee if so desired. Fees are charged for our professional services to clients and for the provision of advice regarding Insurance and Financial Services. Click on the button below to view our fees and charges.
Remuneration Summary
How we are paid for the professional expertise we provide to you our client.
General Insurance Services: Insurance Intermediary
Financial Services: Insurance Intermediary
We are remunerated for the General Insurance and Financial Services we offer you our client, in a number of ways:
- By commission, fee, and other types of remuneration earned from Insurers and Product Producers to whom orders are transmitted.
- This payment is earned by us for the work we undertake on behalf of the Insurer and/or Product Producer and by you our client as we offer advice and facilitate transactions on your behalf with the Insurers and Product Producers
What is Commission?
- Commission is the payment which may be earned by us for the work we undertake on behalf of the Insurer and/or Product Producer and by you our client as we offer advice and facilitate transactions on your behalf with the Insurers and Product Producers. Commission is usually paid as a percentage of the premium paid or amount invested.
|
Name of Commission Payment |
Description of Commission Payment |
|
Single Commission Payment |
payment is based on a percentage of the premium paid/amount invested. |
|
Initial Commission Payment |
payment is based on a percentage of the premium paid/amount invested. |
|
Trail Commission Payment (Financial Services) |
payment is based on a percentage of the underlying value of the investment. |
|
Renewal Commission Payment (Financial Services) |
payment is made at intervals throughout the term of the policy or product, usually a percentage of the premium paid. |
|
Indemnity Commission Payment |
payment is made before the commission is deemed to be earned, so in advance. Indemnity commission may be subject to a clawback* (obligation to repay unearned commission previously paid) should a client lapse or cancel the product before the commission is deemed to be earned. |
Other types of payment/remuneration
- We may earn a minor non-monetary benefit which we will only accept if it enhances the quality of our service to you our client. For example: attendance at a product seminar or assistance with branding, IT support etc.
- Other forms of indemnity commission are advances of commission for future sales granted to intermediaries in order to assist with set up costs or business development.
- Insurers and Product Producers may offer our Company preferred rates, which in turn offer our clients a more competitively priced product. We do not currently have any such arrangements.
- Profit Share Arrangements: In some cases, we may be a party to a profit-share arrangement with a product producer and may earn an additional payment. Any business arranged with these product producers on our client’s behalf will be placed with the product producer because at the time of placement, they were the most suitable to meet our client’s requirements, taking all the client’s relevant information, demands and needs into account.
General Insurance Products
General insurance products, such as (but not limited to) Personal Lines: Motor, Home, Travel, Commercial Motor, Retail or Liability Insurance and Property Insurance, are typically subject to a Single/Initial Commission, with payment based on the amount of premium charged for the insurance product.
Please click on a link below to access a list of the Insurers and Product Producers that our firm holds an Agency Appointment with and the commission options available to our firm.
- Life Assurance Companies
- Product Producer MiFID
- General Insurance Agency Appointments
*Clawback
Clawback is an obligation on the intermediary to repay unearned commission. Commission can be paid directly after a contract is concluded but is not deemed to be ‘earned’ until after a specified period of time. If the consumer cancels or withdraws from the financial product within the specified time, the intermediary must return commission to the product producer.
