Brokers & intermediaries

Our team defends insurance brokers and intermediaries (such as coverholders and MGA’s) against a wide variety of high value and complex claims.

We also advise on the drafting of brokers’ standard documentation and binding/delegated authority agreements and act for the insurers of brokers & intermediaries on policy coverage issues. 

Our lawyers deal with claims against retail and placing brokers – from failures to assess client demands and needs, obtain adequate cover or provide sufficient advice on onerous terms and conditions, to issues arising out of material non-disclosure and misrepresentation or notification failures and Financial Ombudsman Service (FOS) complaints.  

Where brokers face claims as a result of an insurer’s declinature of cover, our experienced coverage lawyers are able to advise on the validity of the insurer’s position and to challenge it if appropriate via arbitration, litigation or FOS. 

Our experience working with intermediaries means we act for coverholders and managing general agents in disputes with insurers regarding alleged breaches of delegated authority agreements. We also advise on the drafting of such agreements. 

Our lawyers

Our team offers a risk management service that helps brokers and intermediaries identify and reduce the risks they face. This includes a Helpline and workshops and publications on key risk areas and market trends. We can work with you to design bespoke risk management support. 

Our expertise and experience

We regularly speak with brokers after an insurer has reserved its rights or declined cover for one of their client’s claims via a helpline we provide to one of BIBA’s accredited PI scheme providers. That gives us significant insight into the issues facing brokers on a day to day basis, and in more recent times as a consequence of the pandemic. Our proactive early assistance regularly helps brokers avoid circumstances turning into claims and to maintain relationships with their clients. 

We continue to advise brokers and their insurers about the implications of Covid-19, business interruption losses and the FCA Test Case. 

Some of our recent work includes: 

  • Assisting a broker to challenge an insurer’s incorrect application of the Insurance Act to force the insurer to apply proportionate remedies rather than decline the entire claim. The potential claim against the broker had potentially been a total loss of £3million but was reduced to less than £50,000 and was not pursued. 
  • Helping a broker to defend a £10million+ claim arising from a devastating fire at its client’s recycling plant. We successfully applied causation and quantum arguments, in particular relating to the misunderstanding of the operation of business interruption cover, to drastically reduce the claimed losses and achieve a low six figure settlement. 

Our clients

Understanding our clients’ commercial priorities is key to the work we do with a wide variety of brokerages, coverholders and MGA’s and their insurers – from SME’s to global businesses. 

Further reading

Mills & Reeve Sites navigation
A tabbed collection of Mills & Reeve sites.
Sites
My Mills & Reeve navigation
Subscribe to, or manage your My Mills & Reeve account.
My M&R

Visitors

Register for My M&R to stay up-to-date with legal news and events, create brochures and bookmark pages.

Existing clients

Log in to your client extranet for free matter information, know-how and documents.

Staff

Mills & Reeve system for employees.