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MIPRU 5.2 Use of intermediaries

MIPRU 5.2.1RRP

A firm must not use, or propose to use, the services of another person consisting of:

  1. (1)

    insurance mediation; or

  2. (2)

    insurance mediation activity; or

  3. (3)

    home finance mediation activity;1

    1

unless MIPRU 5.2.2 R is 3satisfied.

3

[Note: Article 3(6) of the Insurance Mediation Directive2]

2
MIPRU 5.2.1AGRP

3The appropriate regulator regards a firm as 'using' the services of, in particular, its immediate counterparty (typically the intermediary that passed the business to the firm) and of all other persons who have been granted the right or authority directly by the firm to effect a contract of insurance or enter into a home finance transaction.

MIPRU 5.2.2RRP

For the purposes of MIPRU 5.2.1 R, the person, in relation to the activity must:3

3
  1. (1)

    have3 permission; or

    3
  2. (2)

    be3 an exempt person; or

    3
  3. (3)

    be3 an exempt professional firm; or

    3
  4. (4)

    be3 registered in another EEA State for the purposes of the Insurance Mediation Directive2; or

    32
  5. (5)

    in relation to insurance mediation activity, not be 3carrying this activity on in the EEA; or

    3
  6. (6)

    in relation to home finance mediation activity1, not be 3carrying this activity on in the United Kingdom.

    13

[Note: Article 3(6) of the Insurance Mediation Directive2]

2
MIPRU 5.2.3ERP
  1. (1)

    A firm should:

    1. (a)

      before using the services of the intermediary, check:

      1. (i)

        the Financial Services Register; or

      2. (ii)

        in relation to insurance mediation carried on by an EEA firm, the register of its Home State regulator;

        for the status of the person; and

    2. (b)

      use the services of that person only if the relevant register indicates that the person is registered for that purpose.

  2. (2)
    1. (a)

      Checking the Financial Services Register before using the services of the intermediary and using the services of that person only if the Financial Services Register indicates that the person is registered for that purpose may be relied on as tending to establish that:

      1. (i)

        the person, in relation to the activity, has permission; or

      2. (ii)

        the person, in relation to insurance mediation activity, also is an exempt person or an authorised professional firm.

    2. (b)

      In relation to insurance mediation carried on by an EEA firm, checking the register of the firm's Home State regulator and using the services of the EEA firm only if the register indicates that the firm is registered for that purpose may be relied on as tending to establish that the firm is registered for the purposes of the Insurance Mediation Directive2.

      2
MIPRU 5.2.4R

[deleted]3

MIPRU 5.2.5R

[deleted]3

MIPRU 5.2.6GRP

The Financial Services Register can be accessed through the FCA website under the link www.fsa.gov.uk/register/home.do