Brit Insurance chief executive, Dane Douetil, has...
Brit Insurance chief executive, Dane Douetil has backed calls for brokers to be paid only by insurance buyers - a practice known as "net pricing".
The FT reported that Douetil said this would involve insurers quoting brokers a price for covering a particular risk without any brokerage or commission. It would then be up to the brokers to secure a fee with clients for obtaining insurance cover for them.
Douetil added: "Nobody should be scared of transparency if they are doing the right things. If you get complete transparency, effectively net pricing is an inevitability."
He also urged the FSA to force brokers into telling clients what they are being paid for securing cover.
