Conduct In Focus looks at conduct issues for insurance agents selling insurance from temporary booths
17 May 2021
The Insurance Authority (IA) published its latest issue of Conduct In Focus 1 today (17 May 2021), featuring the recent trend of insurance agents promoting insurance products in public places such as temporary booths and vacant retail outlets and related possible conduct issues.
An issue we observe is that certain “self-made” marketing materials and banners used in these sale activities to “hook” the customer’s attention, may sometimes not be approved by the insurance agents’ appointing principals, as required by the Code of Conduct for Licensed Insurance Agents. We also emphasize the importance of providing adequate time and information to prospective customers during these activities, so they can make informed decisions. These street-level sale activities can be an effective way of making potential customers aware of the importance of insurance, but it is imperative that they are conducted professionally and that the customers’ interests always put first.
Conduct In Focus also has a new feature called “Policyholder Corner” which provides practical guidance to the public on buying insurance or dealing with insurance matters based on the lessons learned from the complaints which the IA receives. In Policyholder Corner, we look at problems which could arise when purchasing insurance policies from intermediaries who are family members or friends, and how to avoid such problems. We also alert the public to certain scams using fraudulent websites to impersonate legitimate insurance broker companies or which create fictional insurers. If in doubt, members of the public are advised to verify the contact information of the broker company or insurer in question using the Register of Authorized Insurers and Register of Licenses Insurance Intermediaries on the IA’s website.
Ends
Note:
1Conduct In Focus is a periodical newsletter which presents statistics and commentary on complaints received by the IA and examines topical regulatory issues relating to conduct in the insurance market.