[fusion_builder_container background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ background_repeat=”no-repeat” background_position=”left top” video_aspect_ratio=”16:9″ overlay_opacity=”0.5″ video_mute=”yes” video_loop=”yes” fade=”no” border_size=”0px” padding_top=”20″ padding_bottom=”20″ hundred_percent=”no” equal_height_columns=”no” hide_on_mobile=”no”][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”#a0ce4e” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”solid” padding=”” margin_top=”20px” margin_bottom=”20px” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_title size=”2″ content_align=”center” style_type=”default”]WHAT IS THE INSURANCE ACT 2015?[/fusion_title][fusion_text]
A new legal framework affecting every business insurance policy placed, renewed or amended after the 12th August 2016.
[/fusion_text][/fusion_builder_column][fusion_builder_column type=”1_3″ layout=”1_3″ last=”no” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”#f9f9f9″ background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”solid” padding=”” margin_top=”” margin_bottom=”” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_imageframe lightbox=”no” style_type=”none” hover_type=”none” bordercolor=”#f9f9f9″ bordersize=”8px” borderradius=”0″ align=”none” linktarget=”_self” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ hide_on_mobile=”no”] 
[/fusion_imageframe][/fusion_builder_column][fusion_builder_column type=”2_3″ layout=”2_3″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”” padding=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_title size=”2″ content_align=”left” style_type=”default”]Modernisation[/fusion_title][fusion_text]This is the biggest modernisation of Insurance Law since the Marine Insurance Act of 1906.
It aims to make recovery from insurers simpler and fairer in the event of a claim.[/fusion_text][/fusion_builder_column][fusion_builder_column type=”2_3″ layout=”2_3″ last=”no” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”” padding=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_title size=”2″ content_align=”left” style_type=”default”]Fair Representation[/fusion_title][fusion_text]However, these benefits are dependent on the customer making a ‘fair presentation of risk’.
The customer has a duty of ‘fair representation’ and the act specifies what the customer must do for a presentation to count as fair.
The existing obligations of good faith and ensuring accuracy of material information both remain.[/fusion_text][/fusion_builder_column][fusion_builder_column type=”1_3″ layout=”1_3″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”solid” padding=”” margin_top=”” margin_bottom=”” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_imageframe lightbox=”no” style_type=”none” hover_type=”none” bordercolor=”#f9f9f9″ bordersize=”8px” borderradius=”0″ align=”none” linktarget=”_self” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ hide_on_mobile=”no”] [/fusion_imageframe][/fusion_builder_column][fusion_builder_column type=”1_1″ layout=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none” last=”no” hover_type=”none” link=”” border_position=”all”][fusion_separator style_type=”single solid” sep_color=”#a0ce4e” border_size=”4px” alignment=”center” /][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container][fusion_builder_container background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ background_repeat=”no-repeat” background_position=”left top” video_aspect_ratio=”16:9″ overlay_opacity=”0.5″ video_mute=”yes” video_loop=”yes” fade=”no” border_size=”0px” border_style=”solid” padding_top=”20″ padding_bottom=”20″ hundred_percent=”no” equal_height_columns=”no” hide_on_mobile=”no”][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”solid” padding=”” margin_top=”15″ margin_bottom=”15″ animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_title size=”2″ content_align=”center” style_type=”default”]FAIR REPRESENTATION[/fusion_title][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container][fusion_builder_container background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ background_repeat=”no-repeat” background_position=”left top” video_aspect_ratio=”16:9″ overlay_opacity=”0.5″ video_mute=”yes” video_loop=”yes” fade=”no” border_size=”0px” border_style=”solid” padding_top=”20″ padding_bottom=”20″ hundred_percent=”no” equal_height_columns=”yes” hide_on_mobile=”no”][fusion_builder_row][fusion_builder_column type=”2_5″ layout=”2_5″ last=”no” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”3px” border_color=”#a0ce4e” border_style=”solid” padding=”10″ margin_top=”” margin_bottom=”” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_content_boxes settings_lvl=”child” layout=”clean-vertical” columns=”1″ icon_align=”left” title_size=”28px” animation_type=”0″ animation_direction=”left” animation_speed=”0.1″][fusion_content_box title=”‘Reasonable Search'” icon=”” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””][/fusion_content_box][/fusion_content_boxes][fusion_separator style_type=”single solid” bottom_margin=”15px” sep_color=”#a0ce4e” border_size=”4px” alignment=”center” /][fusion_text]The customer must make adequate enquiries within their business to identify and verify information relevant to the risk(s) concerned.
The must include all relevant knowledge of the ‘senior management’ of the business and those involved in buying insurance (including the broker).
Reasonable enquiries must also be made of any relevant third parties involved with the business, including external consultants, contractors and anyone insured by the policy.[/fusion_text][/fusion_builder_column][fusion_builder_column type=”1_5″ layout=”1_5″ last=”no” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”solid” padding=”” margin_top=”” margin_bottom=”” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_fontawesome icon=”fa-plus” circle=”yes” size=”48″ iconcolor=”#ffffff” circlecolor=”#a0ce4e” circlebordercolor=”#a0ce4e” spin=”no” animation_type=”0″ animation_direction=”down” animation_speed=”1″ alignment=”center” /][/fusion_builder_column][fusion_builder_column type=”2_5″ layout=”2_5″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”3px” border_color=”#a0ce4e” border_style=”solid” padding=”10″ margin_top=”” margin_bottom=”” animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_content_boxes layout=”clean-vertical” columns=”1″ title_size=”28px” icon_align=”left” animation_direction=”left” animation_speed=”0.1″ hide_on_mobile=”small-visibility,medium-visibility,large-visibility”][fusion_content_box title=”‘Clear & Accessible'” iconspin=”no” image_width=”35″ image_height=”35″ link_target=”_self” animation_direction=”left” /][/fusion_content_boxes][fusion_separator style_type=”single solid” bottom_margin=”15px” sep_color=”#a0ce4e” border_size=”4px” alignment=”center” /][fusion_text]
This addresses the clarity of presentation and how able insurers are to assess the risk.
“Data Dumping! of large amounts of information about risk(s) is/are unacceptable.
It is now an additional requirement to adequately highlight unusual activities and/or known areas of concern that could affect the risk.[/fusion_text][/fusion_builder_column][fusion_builder_column type=”1_1″ layout=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none” last=”no” hover_type=”none” link=”” border_position=”all”][fusion_separator style_type=”single solid” sep_color=”#a0ce4e” border_size=”4px” alignment=”center” /][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container][fusion_builder_container background_parallax=”none” enable_mobile=”no” parallax_speed=”0.3″ background_repeat=”no-repeat” background_position=”left top” video_aspect_ratio=”16:9″ overlay_opacity=”0.5″ video_mute=”yes” video_loop=”yes” fade=”no” border_size=”0px” padding_top=”20″ padding_bottom=”20″ hundred_percent=”no” equal_height_columns=”no” hide_on_mobile=”no”][fusion_builder_row][fusion_builder_column type=”1_1″ layout=”1_1″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”solid” padding=”” margin_top=”15″ margin_bottom=”15″ animation_type=”0″ animation_direction=”down” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_title size=”2″ content_align=”center” style_type=”default”]WHAT DO BUSINESSES NEED TO DO DIFFERENTLY?[/fusion_title][/fusion_builder_column][fusion_builder_column type=”1_1″ layout=”1_1″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”” padding=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_text]
From the 12th August 2016, businesses will be required to ensure that their underlying procedures for buying insurance are compliant with the Act.
6 Key steps can help achieve this goal:
[/fusion_text][/fusion_builder_column][fusion_builder_column type=”1_1″ layout=”1_1″ last=”yes” spacing=”yes” center_content=”no” hide_on_mobile=”no” background_color=”” background_image=”” background_repeat=”no-repeat” background_position=”left top” hover_type=”none” link=”” border_position=”all” border_size=”0px” border_color=”” border_style=”” padding=”” margin_top=”” margin_bottom=”” animation_type=”” animation_direction=”” animation_speed=”0.1″ animation_offset=”” class=”” id=”” min_height=””][fusion_content_boxes settings_lvl=”child” layout=”clean-vertical” columns=”3″ icon_align=”left” icon_size=”48px” animation_type=”0″ animation_direction=”left” animation_speed=”0.1″][fusion_content_box title=”” icon=”fa-file-text-o” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””]Ensure clear understanding wherever possible, of the risks being insured (which determine what information is relevant).[/fusion_content_box][fusion_content_box title=”” icon=”fa-clipboard” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””]Document the process of compiling and checking risk information, recording any concerns or shortcomings.[/fusion_content_box][fusion_content_box title=”” icon=”fa-pencil-square-o” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””]Develop draft answers to key definitions in the Act to ensure search is broad enough.[/fusion_content_box][fusion_content_box title=”” icon=”fa-check-circle-o” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””]Clarify sign-off requirements and what is expected at each stage.[/fusion_content_box][fusion_content_box title=”” icon=”fa-users” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””]Engage with your broker and insurers to understand requirements and whether any ‘contracting out’ applies, involving other specialist advisers where required.[/fusion_content_box][fusion_content_box title=”” icon=”fa-hourglass-end” backgroundcolor=”” iconcolor=”” circlecolor=”” circlebordercolor=”” circlebordersize=”” outercirclebordercolor=”” outercirclebordersize=”” iconrotate=”” iconspin=”no” image=”” image_width=”35″ image_height=”35″ link=”” linktext=”” link_target=”_self” animation_type=”” animation_direction=”” animation_speed=””]Start the process early enough to accommodate the additional checks required and to ensure that all information is presented clearly.[/fusion_content_box][/fusion_content_boxes][/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]