Brokers urged to strengthen renewal processes
Insurance Brokers Code Compliance Committee
The Insurance Brokers Code Compliance Committee (IBCCC) has called on insurance brokers to strengthen their renewal processes after its latest data report found renewal timeframes remained the most significant area of non-compliance.
In its 2025 Annual Data Report published today, the IBCCC shows that late or missed renewal engagement continues to be a major issue for brokers, with the potential to affect clients when they are making important decisions about their insurance cover.
Chair of the IBCCC Oscar Shub said renewal was a critical point in the broker-client relationship.
“Clients need enough time before renewal to consider their options, understand any changes to their cover and make informed decisions about the protection they need,” Mr Shub said.
“When renewal processes are not working properly, clients can be left with uncertainty, reduced choice and, in some cases, real exposure to risk.”
The report also highlights the importance of clear communication, particularly in making sure clients understand the advice they receive.
The Committee said effective communication is not just about sending information on time. Brokers also need to be able to show that advice has been clearly explained, including costs, risks, benefits, exclusions and changes to cover.
“Clear advice is central to good broking practice,” Mr Shub said.
“It is not enough for information to be provided. Clients need to understand the advice they are receiving, the role their broker is playing and what the recommended cover means for them.”
The report found 5,417 breaches of the Insurance Brokers Code of Practice were reported for 2025, affecting 14,842 clients. It also found 3,133 complaints were reported, an increase from the previous year.
The Committee said reporting remains an important focus, particularly where brokers report no breaches or complaints.
While some brokers may have strong compliance records, the IBCCC said reporting zero should not be seen as proof of perfect compliance. Brokers need systems that can identify, assess, escalate and report issues when they arise.
“Good compliance is not shown by simply reporting nothing,” Mr Shub said.
“Brokers should have systems that actively identify issues, including minor process failures, delayed communications and incomplete documentation. Self-identifying and addressing problems is a sign of a more mature compliance framework.”
The IBCCC said the report should prompt brokers to review the everyday practices that support good client outcomes, including renewal workflows, communication standards, complaint handling and breach reporting.
The Committee will continue to monitor these issues and engage with brokers where it has concerns about the effectiveness of their compliance frameworks.
Read the 2025 Annual Data Report.
About us:
The Insurance Brokers Code Compliance Committee is an independent body that monitors compliance with the Insurance Brokers Code of Practice. Its purpose is to ensure brokers maintain consistent and high-quality service standards for the benefit of clients, and to promote trust and confidence in the insurance broking industry.
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