6-1 

Insurance Brokers must enter into and maintain valid Insurance Brokerage agreements with at least two (2) Companies. Such agreements must be fair, disclose all material contractual rights and obligations for parties involved and signed by the authorised Persons of both parties.

6-2

The Insurance Brokerage agreements must address the following matters, as a minimum:

a.

duration, the reasons for termination and the methods for termination;

b.

types and lines of business;

c.

geographical area; and

d.

the type of remuneration, the methods of its calculation and due dates of its payment.

6-3

The Insurance Brokerage agreement must not include any of the following terms:

a.

terms that make the Insurance Broker responsible for any Premiums unpaid by the Clients. Any agreements/ arrangements (written or otherwise) that are entered into outside the scope of the Insurance Brokerage agreements that contain such terms, will subject the Insurance Broker and the Company to disciplinary action by the Central Bank;

b.

authorization to the Insurance Broker to issue insurance policies or endorsements thereto, or to amend policies or endorsements except for the issuance of motor Insurance Certificates if both parties choose to do so; and

c.

terms that prevent the Insurance Broker from practicing its activity with any other Company.

6-4

Premium collections from the insured Persons remain the responsibility of the Company at all times.

6-5

The Central Bank may require amending certain terms and conditions of the Insurance Brokerage agreements, on a case-by-case basis, as it deems appropriate for safeguarding public interest.