Insurance broker contracts: Report into contractual relationship between Airmic members and their insurance brokers

Airmic investigated the nature of the contractual relationship between insurance buyers and their insurance brokers by undertaking a survey of Airmic members. The survey asked about the Terms of Business Agreement (ToBA) and Service Level Agreement (SLA) they have with their insurance brokers.

The opportunity was also taken to investigate two issues that continue to be contentious. These are:

(1) The management of broker conflicts of interest.

(2) The imposition by the broker of a limit of indemnity on their exposure to claims from their clients.