As with many brokers, I am watching with interest the action in the US regarding brokers fees.
I notice that some broking organisations have already gone to press saying that this will not affect the UK market. I however disagree.
We are in an industry that could be tarnished quite badly for the amounts earned by brokers from clients.
Why does the FSA not take proactive action and insist that all commissions or earnings or fees, including profit share deals, are declared to all clients.
Having worked for a top two insurer in both commercial and personal lines it would be easy to do this. Resistance because of the cost will be a feeble excuse which the government will just brush aside (it has worked for life and pensions).
I would like to see whether the FSA is prepared to act to help the industry image.
Or are they prepared to buckle under the pressure from the bigger brokers and banks who are simply frightened at having to declare to their faithful punters exactly how much they make on every £100 premium paid.
Disappointingly,. I believe that the latter will prevail until someone in government looking to make a name for himself will insist on commission disclosure.
Why don't we as an industry change the habits of a lifetime and disclose now before we are dragged kicking and screaming into action.
Name & address withheld
