Out-of-court settlement reached after Rentguard claimed that lower commissions had been unfairly imposed by Towergate
Towergate has paid RGA Underwriting, which trades as Rentguard Insurance, an undisclosed sum to settle a dispute over allegedly withheld commissions and commission cuts.
The terms of the settlement are not public as both parties have signed a confidentiality agreement, Insurance Times understands.
Rentguard started the legal action against Towergate Underwriting because it claimed it was owed at least £300,000 in commissions for introducing business from online broker CIA to Towergate.
Towergate and Rentguard disagreed on whether the agreement covered new business or just renewals – with Rentguard claiming that lower commissions had been unfairly imposed by Towergate.
Rentguard was unavailable for a comment.
Towergate has declined to comment.