Leading the way in transparency

As our client, we will always look to treat you fairly and put your interests ahead of our own.

Our clients deserve our finest effort when they engage us to obtain insurance coverage. We pride ourselves on being an industry leader in transparency and disclosure and aim to treat our clients fairly at all times.

To help our clients to make fully informed decisions we will at your request disclose to you any of the following information:

the role or roles we perform in an insurance transaction,
a list of the insurers we propose to approach on your behalf,
any equity interests we may have in those insurers, if any, and
any other mandatory information required under applicable laws and regulations.

At your request, we will disclose to you in writing the remuneration we (and other members of the Marsh Group) receive in respect of your policy. To the extent that such other remuneration cannot be quantified, then we will explain the basis for its calculation.

In most circumstances, Marsh and/or its affiliates are remunerated for its services by the receipt of commission paid by insurers. Your agreement to proceed with this insurance transaction shall constitute your consent to the receipt of commission by Marsh and/or its affiliates. Where Marsh and/or its affiliates place your insurance policies through an internet based system, they may also be remunerated by a fee paid by participating insurers for the use of the internet based system.

In common with many financial organisations, we provide a range of services to a large number of clients. We also provide certain services to insurers. Situations may arise in which the interest of a client may conflict with those of another client or with our own interest. Accordingly, we have policies and procedures in place to ensure that should such circumstances arise, they are managed appropriately.

You can find out more about how we manage conflicts of interest by contacting us and, also read the Marsh and McLennan Companies’ Code of Conduct – The Greater Good.

How We Are Paid

As an insurance broker, Marsh and/or its affiliates’ roles are to place insurance coverage for our clients. Where permitted by applicable law and/or regulation, we may receive compensation from insurance companies and/or clients through one or a combination of the methods listed below.

Retail Commissions: A retail commission is paid to Marsh and/or its affiliates by the insurer as a percentage of the premium charged to the insured for the policy. The amount of commission may vary depending on a number of factors, including the type of insurance product sold and the insurer selected by the client.  Retail commission rates can vary from transaction to transaction.

Client Fees: Some clients may agree to pay Marsh and/or its affiliates a fee for their services in lieu of, or in addition to, retail commissions paid by insurance companies. The fee may be collected through the crediting of retail commissions collected by Marsh and/or its affiliates for the client's placements.

Insurer Consulting Compensation: Marsh and/or its affiliates may receive compensation from insurers for providing consulting, data analytics or other services. The services are designed to improve the product offerings available to our clients, assist insurers in identifying new opportunities, and enhance insurers’ operational efficiency. The scope and nature of the services vary by insurer and by geography.

Contingent Commissions: Some insurers may agree to pay Marsh and/or its affiliates contingent commissions when we meet set thresholds for insurance policies placed with them during a given year or other time period.  The set thresholds may include volume, profitability, retention and/or growth metrics. The amount of contingent commission earned may vary depending on various factors relating to an entire book of business over the course of the year or period.  As a result, the amount of contingent commission attributable to any given insurance policy or program typically will not be known at the time of placement.

Compensation for Insurer Administration and Other Services:  Marsh and/or its affiliates operate certain panels, facilities, quota shares, line slips and other placement arrangements with insurers. Marsh and/or its affiliates may receive separate compensation relating to the administration and management of these arrangements that is in addition to any other fee or commission earned by Marsh and/or its affiliates.

Other Benefits or Compensation: Marsh and/or its affiliates may, from time to time, participate in insurance company promotional events or employee training and development provided by insurers. Sometimes, Marsh and/or its affiliates may be reimbursed by insurers for its costs related to promotional marketing. Where legally permitted, Marsh and/or its affiliates may earn interest and other income on premium accounts, as paid to us by the financial institutions where insurance premiums are held prior to remittance to insurers.

Contractual Arrangements with Insurers

Marsh and/or its affiliates have agreements with certain insurers pursuant to which Marsh and/or its affiliates provide services to them and for which Marsh and/or its affiliates are compensated to the extent permitted by law and regulation in each country in which Marsh and/or its affiliates operate. Examples include captive management services, claims administration services, claims management software and associated services, mergers and acquisitions due diligence services, insurer consulting services and insurance brokerage services regarding insurers’ own insurance programs. Marsh and/or its affiliates may also be a party to agreements with insurers that facilitate insurance transactions, including agency agreements, agreements to administer facilities, and agreements to operate internet-based insurance placing facilities.

Marsh and/or its affiliates also routinely enters into various types of agreements with insurers that are ancillary to the insurance broking process, or other services performed on behalf of clients. Examples include confidentiality and nondisclosure agreements for the release of data relating to insurance placements, claims handling and loss control programs, nondisclosure and/or noncompetition agreements relating to the development and disclosure of new insurance products and services, and licensing agreements governing access to and use of data management systems and databases.

Other

Marsh and its subsidiaries or affiliates own equity interests in a small number of insurers or reinsurers. A current list of those equity interests can be viewed at Leading the way in transparency.

Marsh is affiliated with other entities that may perform services associated with a Marsh client’s account. Mercer is a premier human resource consulting firm that may provide health and benefits consulting and insurance placement expertise to Marsh clients. Guy Carpenter & Company is a leading reinsurance broker, and it may place reinsurance for insurance companies that insure a client’s risk through Marsh. Oliver Wyman is a global leader in management consulting that may provide actuarial or consulting services for Marsh clients.

Marsh is the world’s largest provider of captive management solutions. Marsh Global Analytics helps organizations use data and analytical tools to better understand risks, make more informed decisions, support the implementation of innovative solutions and strategies, and ultimately reduce costs. Marsh Risk Consulting is a global organization comprising specialists dedicated to providing clients with advice and solutions across a comprehensive range of insurable and non-insurable risks. Marsh ClearSight serves the technology needs of risk management professionals as well as insurers and third-party administrators through integrated software and services that support risk management, claims administration, compliance management, and data management.

We may receive payments from the companies that provide premium-finance facilities which allow our clients to pay their premiums in instalments.