Terms of business Agreement


About us
Mastercover Insurance Services Limited is authorised and regulated by the Financial Conduct Authority (FCA). Our Firm Reference Number is 309016.

Our terms will apply to consumer clients (a natural person acting for purposes wholly or mainly outside their trade, business or profession) and non-consumer commercial clients (a client acting within their trade, business or profession) unless otherwise stated.

Our permitted business is the advising on, arranging (bringing about) deals in, making arrangements with a view to transactions in, dealing as agent in and assisting in the administration and performance of non-investment insurance contracts. You can check this on the Financial Services Register by visiting the FCA web-site www.fca.org.uk or by contacting the FCA on 0800 111 6768. We are also authorised by the FCA for consumer credit broking and consumer credit lending. We act for one lender for consumer client business and we act for a number of lenders in respect of non-consumer commercial client business.

We are required to comply with the FCA regulations relevant to an insurance intermediary, which states that a firm must conduct its business with integrity, and pay due regard to the interests of its customers and treat them fairly.

Please read this document carefully. It sets out the terms on which we agree to act for our clients and contains details of our regulatory and statutory responsibilities. We specifically draw your attention to the following sections: Protecting your money & Providing information to your Insurers.

Please contact us immediately if there is anything in these terms of business which you do not understand or with which you disagree.

As Independent Insurance Intermediaries we act as the agent of our client. We are subject to the law of agency which imposes various duties on us. However, in certain circumstances, we may act for and owe duties of care to other parties. We will advise you when these circumstances occur so you will be aware of any possible conflict of interest.

Mastercover Insurance Services Limited (incorporating trading styles Insured Risks, Healthcover and Remocover) is part of The Ardonagh Group of companies.

We offer products from a range of insurers for private motor, commercial vehicle and household insurance based upon a fair analysis of the market. In addition, we also offer specialist products for motor, commercial insurances, personal accident, illness, travel insurance and healthcare from a single insurer or limited number of insurers. A list of the insurance companies that we select from is available upon request. In the event that we arrange your policy through another intermediary or chain of intermediaries, we will provide you with details of the companies involved. On-Line we only offer products from a single insurer or limited number of insurers. We do not offer advice on the suitability of products that are bought on-line.

We will advise and make a recommendation for you after we have assessed your needs. This will include the type of cover you seek together with the costs. Upon receipt of your instructions, we will place insurance with insurers, and keep you informed of the progress of our negotiations. We will advise you of any inability to place your insurance.

We will only take instructions for policy issue, amendment or cancellation from the policyholder, unless we have written confirmation from the policyholder permitting another person to act on their behalf.

How we validate your information
To make sure that you get our best deal and to ascertain the most appropriate payment option for you and to protect you from fraud, we and our insurance and credit partners will use public and personal data from a variety of sources, including a credit reference agency and other organisations. Our search will appear on your credit report whether or not your application proceeds. This and other information about you may be used to make a credit decision about you and to undertake checks for the prevention and detection of money laundering. By agreeing to these terms and conditions you agree to these uses of your information.

We reserve the right to validate an insurance risk to ensure that complete and accurate information has been submitted, as well as to prevent fraudulent applications.

Validation could include telephone confirmation of the risk information held, as well as checks on insurance industry databases; such as the Claims and Underwriting Exchange database (CUE) and a request for documents and credit checks. The documents that we may request could include a copy of your driving licence, a utility bill, a copy of the Vehicle Registration Document (V5), proof of trading (for commercial clients) and proof of no claims bonus.

Insurer security
We do not guarantee the solvency of any insurer we place business with. A liability for a premium, whether in full or pro rata, may arise under policies where a participating insurer becomes insolvent.

You must provide the premium due in cleared funds in accordance with the amounts and payment dates specified in our debit note. Failure to meet the payment date may lead to the cancellation of your policy.

Protecting your money
Prior to your premium being forwarded to the insurer, we generally hold your money as an agent of the insurer with which we arrange your insurance. Where we hold premium as agent of the insurer, it is regarded as received by the insurer. If we are not acting as an agent of the insurer when we receive your premium, we shall hold it as client money in trust for you within a non-statutory trust client bank account with an approved bank. Our client bank account may contain other clients’ money and money we hold as agent of insurers. In line with strict FCA rules, our client bank account is rigorously monitored in order to segregate and safeguard client money. We also reserve the right to retain interest earned on our client bank account.

We are permitted to advance credit to other clients from monies we hold in a non-statutory trust client bank account. A copy of the trust deed under which our non-statutory trust client bank account has been established is available on request.

We may transfer your premiums to the insurer through another party, such as a broker or underwriting agent, for the purposes of effecting a transaction.
By accepting this Terms of Business Agreement you are giving your consent for us to treat your money in this way. Please notify us immediately if you have any objection or query.

Our Earnings
Our remuneration may be as a fee, brokerage or commission (which is usually as a percentage of the insurance premium paid by you and allowed by the insurer with whom the insurance is placed). Brokerage, commission and fees are earned for the policy period and we will be entitled to retain all fees and brokerage in respect of the full policy period in relation to policies placed by us, even if the contract is terminated for any reason. You are entitled at any time to request information regarding any commission which we may have received as a result of placing your insurance business or arranging premium finance.

In addition to commissions or brokerage payments, we may receive remuneration by way of administrative fees or commissions for services provided to underwriters or from income derived from the arrangement of finance or other services with third party suppliers. If you pay your premium by instalments we will inform you of any additional fees, charges or interest as part of your credit arrangement.

Our fees and charges
These are the maximum fees and charges that may apply and are in addition to any charge made by your insurer.

Mastercover fees and charges 
Consumer Clients
New policy and renewal arrangement fee
Mid-term and temporary adjustments
Duplicate documents
Cancellation (within 14 days) – cooling off period
In addition to our fee, you insurer will make a pro-rata charge for the time on risk providing you have not claimed
Non-Consumer Commercial Client Fees
Premiums £0 to £5,00
Premiums £5,001 to £10,000
£ 75.00
Policies bought on-line£10.00
All Clients (Consumer & Commercial)
Cancellation (after 14 days)
We will retain the full commission and any charges. Your insurers will make charge for the time on risk providing you have not claimed. This may not be on a pro-rata basis; check your insurer’s policy wording for cancellation terms.If we have previously discounted the insurance company’s standard premium, the amount of the discount will be deducted from the insurance company’s return premium
Retention of all fees / charges and commission
Plus £32.50
Unpaid cheques / Direct debits£32.50
Rescinding instructions before start of the policy£32.50

Automatic Renewals
For your protection, we will automatically renew your policy up to five days prior to the renewal date if you pay your premium using the Premium Credit finance facility. If we are unable to automatically renew your policy we will advise you in writing. If you pay your premium by any other method you will be responsible for making payment prior to the renewal date.

Recinding Instructions
Where a client instructs us to incept or renew a policy but subsequently instructs us to cancel it prior to cover being in force, a full return premium will be provided and a £32.50 administration charge will be applied.

Cancelling your policy
Please contact us immediately if you wish to cancel any insurance policy we have arranged for you. You may have a right to cancel a policy without penalty within the first 14 days. Please refer to your policy summary or your policy documents for further details. If you cancel within this initial cancellation period (where this applies) you will receive a pro rata refund of premium from the insurer. However, insurers are entitled to make an administrative charge.

In addition, we will charge an amount in line with our scale of fees which reflects the administration costs of arranging and cancelling the policy.

If you choose to cancel other than within the initial cancellation period you may not receive a pro rata refund of premium. In addition we will make an administration charge in line with our scale of fees which reflects the administration costs of arranging and cancelling the policy. Furthermore, where we have previously discounted the insurance company’s standard premium, the amount of the discount will be deducted from the insurance company’s return premium.

If you decide to cancel a motor policy and premiums remain outstanding we will not be able to issue proof of no claim discount until the outstanding premiums are paid.

Cancellation Clause
Your insurance contract may include a cancellation clause. In the event that you fail to pay your premium by the due date, the insurance may be cancelled forthwith or by your insurers giving notice of the cancellation. In the event of cancellation of the insurance contract, insurers may return a pro rata premium to us.

Your insurance is based upon the information provided to the insurance company. This means that you must take reasonable care to answer all questions fully and accurately. Once cover has been arranged, you must immediately notify us of any changes to the information that has been provided to your insurers. Failure to provide accurate and up to date information may invalidate your insurance cover and mean that a claim may not be paid.

It is your duty to provide a fair presentation of the insurance risk based on you conducting a reasonable search for information.

You must tell us of anything that may be relevant or important for insurers to know, including any specific concerns that led you to seek cover. You also need to answer all questions we ask you accurately and to the best of your knowledge and ability. This may require you to make specific enquiries of partners, directors and senior management in the business and its subsidiaries.

This information will be used by insurers to make a decision on whether to offer cover, the type of cover to offer, the terms to be applied and the required premium. A breach of duty of fair presentation may mean that you are not covered correctly, your insurance may be invalid or a claim may not be paid in full. If you are in any doubt or not sure then just tell us. For example you should inform us of any different, special or any unusual aspects of your business activities in comparison to what would be considered typical in the market place for your trade, business or profession.

Any deliberate or reckless breach of duty of presentation could result in your policy being declared void by an insurer with no refund of premium.

Your duty of fair presentation applies at the start of the policy, at renewal and when any variation of the policy is arranged.

Adequacy of insurance values
It is the responsibility of the insured to ensure that all sums insured and policy limits are adequate. Whilst we seek to assist in establishing and maintaining insured values and indemnity limits we cannot accept responsibility for their accuracy. It is strongly recommended that the appropriate professional (e.g. surveyor/accountant) be consulted to ensure that the sums insured and limits under the policy are suitable.

Cancellation of this agreement
Our agreement may be terminated by one of us giving 14 days’ notice in writing to the other. In the event that our services are terminated by you we will be entitled to receive any fees or brokerage payable.

In the event of a claim you should contact us as soon as possible, or the appropriate insurance company helpline. Details and further information can be found on our website at www.mastercover.com or your Insurance policy booklet.

In the event of a total loss claim, if you have a premium finance arrangement in place this will continue as the full policy premium will still be payable to the insurance company. If the premium finance arrangement is cancelled the outstanding premium balance will become payable in full.

We will provide you with every assistance in submitting a claim and seeking to obtain settlement for you. However, in the event that an insurer becomes insolvent or delays making settlement we do not accept liability for any unpaid amounts.

Policy documentation
Our policy is that documentation will be issued in a timely manner. This will normally be immediately if you have bought a policy on-line or within 5 days of the contract of insurance being concluded for consumer clients, and within 30 days for non-consumer commercial clients if the policy is purchased over the telephone or by post.

Your policy documentation will confirm the basis of the cover, give details of the insurer(s), and be accompanied by a policy summary and a debit note or premium billing. The date(s) that the premium is due, together with any penalties, will be clearly shown.

Attached to your policy documentation will be a statement of demands and needs. You should read this carefully. It will set out your demands and needs and confirm whether the contract has been personally recommended and, if so, the reasons for making that recommendation.

We will endeavour to provide you with renewal terms in a durable medium within a reasonable period before expiry of the policy, or notify you that renewal is not being invited. Attached to the renewal terms will be a statement of any changes to the terms of the policy, and changes to directive required information (information required under the EU Directives), statement of price and information about cancellation. A copy of your policy wording is available upon request.

We take all complaints seriously. If you wish to register a complaint, please contact Matthew Myers (Manager) either in writing at Mastercover Insurance Services Ltd, 2 Oaks Court, Warwick Road, Borehamwood, WD6 1GS or by telephone on 020 8236 3600. We will acknowledge your complaint within 5 days of receipt. A full copy of our complaints procedure is available upon request.

If we are unable to settle your complaint with us, you may be entitled to refer it to the Financial Ombudsman Service who can be contacted on 0800 023 4567 or 0300 123 9123 or visit their web-site at www.financial-ombudsman.org.uk 

Financial Services Compensation Scheme (FSCS)
We are covered by the Financial Services Compensation Scheme (FSCS). You may be entitled to compensation from the FSCS if we cannot meet our obligations. This depends upon the type of business and the circumstances of the claim. The scheme does not apply to consumer credit.

Further information about compensation scheme arrangements is available from the FSCS, who can be contacted on 0800 678 1100 / 020 7741 4100 or visit their website at www.fscs.org.uk

Money laundering / Proceeds of crime
We are obliged to report to the National Crime Agency any suspicion of money laundering or terrorist financing activity and we are prohibited from disclosing any such report.

Data Protection
We are registered as a data controller under the Data Protection Act 1998, under which you have a right of access to see personal information about you that is held in our records whether electronically or manually, and we undertake to comply with the Act in all our dealings with your personal data. Your personal information will be kept secure.

All personal information about you will be treated as private and confidential (even when you are no longer a client) except where the disclosure is made at your request or with your consent or where we are required by law to disclose it. We will use your information in relation to setting up and administering your insurance and any related credit agreements. We may use information we hold about you to provide information to you about other products and services, which we feel may be appropriate to you. By accepting these terms and conditions you agree to these uses of your information.

Law and Jurisdiction
These terms of business shall be governed by and construed in accordance with English law. In relation to any legal action or proceedings arising out of or in connection with these terms of business we both irrevocably submit to the non-exclusive jurisdiction of the English Courts. The contract will be supplied in English and all future communications will be made in English


Please note

By accepting this Terms of Business Agreement you are giving your consent for us to treat your money in this way. Please notify us immediately if you have any objection or query.
0208 236 3600