Marsh & McLennan has announced a series of reforms to the...
Marsh & McLennan (MMC) has announced a series of reforms to the way it conducts its relationships with clients.
Yesterday Michael Cherkasky replaced Jeffrey Greenberg as chief executive of MMC.
Today MMC declared a commitment to the “integrity and quality” of its relationships with clients, promising to be more transparent in the future.
The practice of contingency commissions has been permanently eliminated, instead consistent commission rates will be sought to allow insurers to compare rates with alternative proposals.
MMC has also said insurance companies dealing with the broker will need to show commission rates on all policies.
Clients will receive a document laying out how the company earned its revenue and also get access to any negotiations MMC conducts with insurers on their behalf.
The company's policies will come into effect on 1 January 2005.
