The FSA's rules on broker disclosure are voluminous and at times complex. Brokers will need to disclose to clients information such as their relationship with their insurance providers and the key features of the policy.

They must also consider whether the client is a retail client or a commercial client as this will determine the nature and extent of disclosure. Brokers will need systems and training in place to meet FSA requirements.

Many brokers are unaware of how software providers can help with disclosure. Providers are developing the capability to provide brokers with the information required under the ICOB rules. This will apply to on-screen products - mainly personal lines - and will ease the regulatory burden. Check with your software house and make sure you take full advantage of what it can do for you.

Michael Faulkner

If you have received a 'minded to authorise' letter, email: