OUR SOURCES OF INCOME
When placing your insurance, we usually receive a commission from the insurer. The amount varies between 0% and 27% of the base premium you pay. Where a policy is cancelled before the period of insurance has ended we will usually retain the commission on any return premium involved.
If you are a Retail Client and we give you Personal Advice, commission amounts will be provided in any SOA or (where an SOA is not required to be provided) included on any relevant invoices. When we give you General Advice, full commission information (including dollar amounts) will be provided on request.
We have a set of standard non-refundable Broker Fees that we charge you for services such as:
• Market research on products available.
• Assessing the claims service of insurers.
• Sourcing alternative quotations and coverage.
• Risk analysis and portfolio co-ordination.
All fees payable for our services will be advised to you at the time of providing the advice or service. We may receive additional remuneration from insurers with whom we have profit share or volume bonus arrangements. This remuneration is payable if we meet certain agreed sales and/or profitability targets set by the insurer. If we have profit share arrangements with an insurer that apply to a product we recommend to you, we will advise you of this at the time of making any such recommendation if the amount involved is material. We retain the interest on premiums paid by you that are held in our trust account before paying the insurer.
We are a shareholder of STEADFAST Group Ltd. They have exclusive arrangements with some insurers where they receive between 0.5 – 1.5% commission on the premium placed by us with those insurers. These payments are used to operate STEADFAST. Depending on the operating costs of STEADFAST (including the costs of shareholder services provided to us and other shareholders) and the amount of total business we place with the participating insurers in any financial year, we may receive some of that commission at the end of each financial year. As a STEADFAST shareholder, we can access services including operating and compliance tools, advice and assistance from professional bodies, group insurance arrangements, product comparison and placement support, claims support and purchasing arrangements. These shareholder services are either funded or subsidised by STEADFAST or available exclusively to shareholders for a fee. A copy of the STEADFAST FSG is available at www.Steadfast.com.au.
If you pay by credit card we may charge you a credit card (incl. arrangement & handling) fee, which is disclosed and shown separately on our invoices, they are non-refundable. This fee covers the cost of bank charges etc. associated with such facilities. Premium funding products enable you to pay your premiums by installments. Premium funders do charge interest. We can arrange premium funding if you require it. We may receive a commission based on a percentage of the premium from the premium funder for doing so. We will tell you the basis and amount of any such payment if you ask us.
HOW OUR REPRESENTATIVES ARE PAID
Our representatives do not receive any benefit directly from the sale of a product to you. Our representatives may receive bonuses payable based on the overall performance of our business. If a person has referred you to us, we may pay them a part of any fees or commission received. If you are a Retail Client and receive Personal Advice full remuneration details will be disclosed in the SOA or invoices related to the advice.