Agency Agreement (Insurance) Template for Ireland

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Key Requirements PROMPT example:

Agency Agreement (Insurance)

"I need an Insurance Agency Agreement governed by Irish law for appointing a new agent to sell our life insurance products exclusively in Dublin, with the agreement to commence on March 1, 2025 and include strict compliance requirements and performance targets."

Document background
The Insurance Agency Agreement (Insurance) is a critical document used to establish and govern the relationship between insurance companies and their distribution partners in Ireland. This agreement is essential when an insurer wishes to appoint an agent to sell and distribute its insurance products, ensuring compliance with the European Union (Insurance Distribution) Regulations 2018 and Irish financial services law. The document covers key aspects including appointment terms, regulatory compliance, commission structures, operational procedures, and termination provisions. It must align with Central Bank of Ireland requirements and incorporate provisions for consumer protection, data protection, and anti-money laundering compliance. The agreement is particularly important given the regulated nature of insurance distribution in Ireland and the need for clear delineation of responsibilities between insurers and their agents.
Suggested Sections

1. Parties: Identification of the insurance company (principal) and the agent, including their registered addresses and company numbers

2. Background: Context of the agreement, including the insurer's authorization status and the agent's qualifications

3. Definitions: Definitions of key terms used throughout the agreement

4. Appointment and Scope: Terms of the agent's appointment, territory, and scope of authority

5. Regulatory Compliance: Obligations regarding regulatory compliance, including IDD requirements and Central Bank regulations

6. Agent's Duties and Responsibilities: Detailed obligations of the agent, including sales practices, reporting, and customer service requirements

7. Insurer's Duties and Responsibilities: Obligations of the insurer, including support, training, and documentation

8. Commission and Payment Terms: Commission structure, payment terms, and related financial arrangements

9. Professional Indemnity Insurance: Requirements for maintaining professional indemnity insurance

10. Data Protection and Confidentiality: GDPR compliance requirements and confidentiality obligations

11. Term and Termination: Duration of the agreement and circumstances for termination

12. Post-Termination Obligations: Obligations of both parties after termination

13. General Provisions: Standard legal provisions including governing law, notices, and entire agreement

Optional Sections

1. Non-Compete Clause: Restrictions on the agent's ability to represent competing insurers - optional depending on business model

2. Marketing and Branding: Rules for use of insurer's brands and marketing materials - relevant if agent markets under insurer's brand

3. Claims Handling Authority: Procedures for claims handling if agent is authorized to process claims

4. Premium Collection: Procedures for collecting and handling premiums if agent has collection authority

5. Training Requirements: Specific training obligations beyond regulatory minimums - optional based on insurer's requirements

6. Performance Targets: Sales or performance targets - optional based on business model

7. IT Systems and Security: Requirements for using insurer's systems - relevant if shared systems are used

Suggested Schedules

1. Schedule 1 - Products and Services: List of insurance products and services the agent is authorized to sell

2. Schedule 2 - Commission Rates: Detailed commission structures and rates for different products

3. Schedule 3 - Territory: Detailed description of geographical territory or market segments

4. Schedule 4 - Regulatory Requirements: Specific regulatory requirements and compliance procedures

5. Schedule 5 - Service Level Agreement: Detailed service standards and performance metrics

6. Appendix A - Required Documentation: Templates and forms for required documentation

7. Appendix B - Reporting Requirements: Formats and timelines for required reports

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Insurance

Financial Services

Insurance Broking

Risk Management

Wealth Management

Life Insurance

General Insurance

Commercial Insurance

Retail Insurance

Reinsurance

Relevant Teams

Legal

Compliance

Risk Management

Distribution

Sales

Operations

Commercial

Regulatory Affairs

Product Development

Agency Management

Business Development

Partner Relations

Underwriting

Relevant Roles

Chief Executive Officer

Legal Counsel

Compliance Officer

Risk Manager

Head of Distribution

Sales Director

Business Development Manager

Insurance Agent

Broker Relationship Manager

Operations Director

Commercial Director

Regulatory Affairs Manager

Insurance Product Manager

Agency Manager

Distribution Network Manager

Industries
European Union (Insurance Distribution) Regulations 2018: Implements the EU Insurance Distribution Directive (IDD) in Ireland, setting out requirements for insurance intermediaries including registration, professional requirements, and conduct of business rules
Central Bank (Supervision and Enforcement) Act 2013: Provides for the regulation and supervision of financial service providers, including insurance intermediaries, by the Central Bank of Ireland
Consumer Protection Code 2012: Sets out requirements for regulated entities including insurance intermediaries in their dealings with consumers, covering areas such as disclosure, suitability assessment, and complaints handling
General Data Protection Regulation (GDPR) and Data Protection Act 2018: Governs the processing of personal data, which is crucial for insurance agencies handling customer information
Criminal Justice (Money Laundering and Terrorist Financing) Act 2010-2021: Sets out anti-money laundering requirements applicable to insurance intermediaries, including customer due diligence and reporting obligations
Insurance Act 1989: Fundamental legislation governing insurance business in Ireland, including provisions relating to insurance intermediaries
Central Bank Reform Act 2010: Establishes fitness and probity requirements for individuals in regulated financial service providers, including insurance intermediaries
European Communities (Distance Marketing of Consumer Financial Services) Regulations 2004: Relevant for insurance agencies conducting business remotely, setting out specific requirements for distance selling of financial services
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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