A few months ago, we introduced measures to support customers finding themselves in temporary financial difficulties due to the COVID-19 pandemic. This included deferring premiums for private medical insurance, in line with the Financial Conduct Authority’s (FCA)’s guidance, as well as offering other forms of financial support where appropriate, such as premium waivers and discounts.
We recognise your ongoing support
We know you are continuing to offer your clients the support and advice they need during these unprecedented times. We also recognise that you shouldn’t lose out because of the premium support we’ve chosen to offer.
Because of this, we’re reimbursing the premium commission clawed back from you in respect of all customers who have agreed a premium waiver or discount with us since the start of the pandemic as a result of temporary financial difficulties. We will agree the process with you for the reimbursement of that element of your commission.
This only applies to commission payments where customers have agreed a premium waiver or discount due to temporary financial difficulties relating to the COVID-19 pandemic, it does not apply to customers who have agreed any other type of discount.
Where customers have agreed a deferral period of up to 3 months, commission will be paid in the usual way when premiums are received – we expect the premium to be paid based on the arrangements agreed with your client. When this happens, we’ll apply the commission to the policy and arrange payment in line with your usual terms of business.
Given that the future remains uncertain and the regulatory response to the pandemic may change, we fully reserve our right to change our approach to commission at any time, including in respect of any clawback or reimbursement, if we feel the need to do so. We will be in touch again to let you know, should this be the case.
Working together to support you and your clients
With the pandemic continuing to affect us all, we know how important it is for us to work with you to support your clients. We’re keen to help reduce the uncertainty many may be facing.
We know you are their first port of call for questions about their policies, so we’re here to support you where we can.
If you have any questions about this, please speak to your usual Aviva Account Manager.