BIBA welcomes improved level playing field for customers with conclusion of Insurance Distribution Directive (IDD) political process

1st July 2015

After many years of promoting the interests of members and their customers in Brussels, Westminster and working closely with our European Federation BIPAR, BIBA is delighted to see the Insurance Mediation Directive will now become the IDD and include comparison sites and direct insurers.

Steve White, BIBA’s Chief Executive, said: “It has always been BIBA’s view that wherever a customer arranges their insurance – through a broker, insurer or comparison site, that all disclosure requirements are identical. We welcome this level playing field approach following final trilogue negotiations between the Council of the EU, the European Parliament and the European Commission. This brings in direct insurers and gives clarity around price comparison websites. It is good for customers.                                                                   

“We believe the compulsory requirement to complete 15 hours of continuous professional training per year is feasible and is the right balance.

“We are particularly pleased that the specificities of the general insurance sector are catered for in the IDD and yet it still aligns with PRIPS/ MIFID.”

Graeme Trudgill, BIBA’s Executive Director, said: “This is a BIBA Manifesto point and we believe that customers should receive the right balance of information on the type of Insurance, obligations under the contract, risks insured and excluded in plain and easily understandable language. We will work with all those involved to progress the new product information document and to ensure its implementation at national level is not overly gold-plated information overload for customers. 

The details will be worked out during the next few months and BIBA will work with BIPAR to ensure the best outcome for customers and our members throughout the implementation period.”

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Notes to editors

1. For further information please contact:

BIBA press office:
Becky Pledge
Communications Coordinator
020 7397 0231
pledger@biba.org.uk
 

2. About British Insurance Brokers' Association

The British Insurance Brokers' Association (BIBA) is the UK's leading general insurance intermediary organisation representing the interests of insurance brokers, intermediaries and their customers.

BIBA membership includes just under 2,000 regulated firms having merged with the Institute of Insurance Brokers (IIB) in November 2011.

General insurance brokers contribute 1% of GDP to the UK economy and BIBA brokers employ more than 100,000 staff.

54% of all general insurance is sold by an insurance broker and they arrange 79% of all commercial insurance business.

Insurance brokers put the client’s interests first, providing advice, access to suitable insurance protection and risk management.

BIBA helps more than 400,000 people a year to access insurance protection through its Find a Broker service, both online and via the telephone.

BIBA is the voice of the industry advising members, the regulators, consumer bodies and other stakeholders on key insurance issues.