Terms of Business

Accepting Our Terms of Business

By asking us to quote for, arrange, renew or handle your insurances, you are providing your informed agreement to these Terms of Business.

It is important, for your own benefit and protection, that you read these terms carefully. They contain details of our statutory and regulatory responsibilities and your contractual obligations on which we will rely. If you are unsure about any aspect of our Terms of Business, your responsibilities or have any questions regarding our relations with you, please contact us for more information.

About Us

Parkstone Insurance is a trading style of Parkstone Broking Ltd, registered in England and Wales (company number 16501720) with its registered office at 20–22 Parkside, Horsforth, Leeds, LS18 4DN. For more information, please visit www.parkstoneinsurance.co.uk

Parkstone Broking Ltd (Firm Reference Number 1035981) is an Appointed Representative of Bullerwell & Co Limited who are an independent insurance intermediary authorised and regulated by the Financial Conduct Authority (Firm Reference Number 301045).

You can check our details on the FCA Register at https://register.fca.org.uk or by calling the FCA on 0800 111 6768.

Our permitted business includes introducing, advising on, arranging, dealing as agent, and assisting with the administration and performance of general insurance contracts and credit broking.

Our Service to You

We offer a wide range of insurance products and work with many leading insurers. Our aim is to provide high-quality service and support, and to treat you fairly in all our dealings.

We will assess your needs and, where appropriate, provide advice and a personal recommendation on suitable insurance products. As part of our service, we will:

• Help arrange your insurance cover and any associated credit facilities
• Assist with policy changes or claims during the policy period
• Notify you when your policy is due for renewal, giving you sufficient time to review your options and secure continued cover.

In certain cases, we may only provide information rather than advice or a personal recommendation. Where this applies, your documentation will clearly indicate whether the service is on an advised or non-advised basis.

Solvency of Insurers

We cannot guarantee the solvency of any insurer with which we place business. If your insurer becomes insolvent, you may still be liable for unpaid premiums, you may not recover premiums paid and you will need to arrange replacement cover at your own expense

Your Duty to Provide Accurate Information

Commercial Customers

(Insurance purchased wholly or mainly in connection with your trade, profession, or business)

You are responsible for providing a fair presentation of the risk to insurers, in accordance with the Insurance Act 2015. This means you must disclose every material fact or circumstance that you, your senior management, or anyone responsible for arranging your insurance knows or ought to know following a reasonable search. A material circumstance is one that would influence an insurer in deciding whether to accept the risk, and on what terms. If you are uncertain whether something is material, you should disclose it.

Your duty applies:

• when you take out a policy,
• throughout the life of the policy,
• at renewal, and
• whenever you make a change to your cover.

Failure to make a fair presentation may allow insurers to:

• amend the terms of your policy,
• reduce the amount paid on a claim, or
• in serious cases, void your policy entirely, leaving you with no cover and no claim paid.

Consumers

(Individuals purchasing insurance unrelated to their trade, profession, or business)

You must take reasonable care to answer all questions honestly and accurately to the best of your knowledge. This applies whenever you take out, amend, or renew a policy. Failure to do so may result in your policy being cancelled, treated as if it never existed, or in claims being reduced or refused.

Awareness of Policy Terms

Please ensure you carefully read all insurance documents provided to you, so you fully understand the coverage, limits, and applicable terms. It is especially important to review any warranties and conditions, as failing to comply with these may result in your policy being invalidated.

Keep all documents safe as you may need them in the event of a claim

Receiving your Documents

We are committed to reducing our carbon footprint so our standard practice is to e-mail your documents to you, however, documents can be issued by post if required, just let us know.

How we are paid for our services

In addition to the amount charged by insurers we also make charges to cover the administration costs of your insurance in line with the amounts below and these fees are non-refundable. We usually receive a commission from the insurance provider with whom we place your business and also receive a commission for arranging finance agreements for the payment of premiums. You are entitled, at any time, to request information regarding any commission we may have received as a result of placing or renewing your insurance cover.

For all advised sales the following charges will be applied:

	Consumer	Commercial
New Business & Renewals	£60.00	£75.00
Mid Term Adjustments	£40.00	£50.00
Electronic duplicate documents	£10.00	£10.00
Cancellation (before or after cover start date)	£60.00	£75.00

 

In most cases we are paid by commission from the insurer, but in some circumstances, we may charge you a fee instead of commission or a combination of both. Our fees will be confirmed to you clearly and in writing at the time of incepting or renewing your policy and will always be disclosed to you before you commit to purchasing the product.

Where we arrange low or non-commission paying products, we may charge a broking fee not exceeding 30% of the premium and will advise you of the actual amount at the time of quotation or renewal.

Additional Fees

There may be occasions when an additional fee is charged, for example:

• significant mid-term changes requiring further advice and administration,
• placement of additional or complex cover,
• provision of risk management services, or
• substantial involvement in handling a large or complex claim.

Our commission and fees are fully earned once cover is arranged or renewed. If your policy is cancelled or amended in a way that results in a return premium, we will retain the commission and fees we earned on the original premium. This is because most of our costs are incurred at the point of arranging or renewing your cover. Cancellation does not give us the opportunity to recover those costs, and therefore refunds will always be net of our retained commission and fees. If you cancel after we applied a discount at new business or renewal, the value of that discount may be deducted from any refund due.

If you choose to pay your premium in instalments using a premium finance facility, we may also receive a variable commission from the finance provider. This commission is usually a percentage of the interest you pay. As a result, the total cost of your insurance, including the cost of credit, may vary depending on the interest rate charged by the lender and the level of commission we receive. Some payment options may carry different interest rates.

Paying your premium in instalments, whether through premium finance or an insurer direct debit arrangement, will generally increase the overall cost of your insurance compared to paying in full. A full breakdown of your insurance costs, including any credit charges, will be provided in your quotation before you decide to proceed.

Cancellation of insurances

If you decide to cancel your policy in accordance with any timeframes set out in your policy, and subject to no claims having been made or intimated, you may be entitled to a refund of premium paid. To cancel your policy, please contact us using the details provided in this Terms of Business, either by letter, email, or phone. If requested, any relevant insurance certificates must be returned to us or directly to the insurer.

Please be aware that your policy terms may allow the insurer to retain the full premium or charge a short-period premium if the policy is cancelled before its expiry date. The Insurers may also deduct an administration charge. Please also refer to the section headed “How we are paid for our services” for advice on any cancellation charges we may apply

If any outstanding balance remains unpaid after cancellation, we may take legal action to recover the amount. This could result in additional costs for you and may affect your ability to obtain credit in the future. Furthermore, we may refer your debt to a Debt Collection Agency to recover the amount on our behalf.

Refunds

No refunds can be made until we have received the money from the insurers. If payment was initially made by credit or debit card, any refund will usually be made to the same card. All other refunds will be made by BACS

• Where insurers issue a return premium, this will be reduced by our retained commission and fees.
• Where a refund of premium or other monies due to you amounts to less than £15, we reserve the right to retain such sums and apply them against future transactions or adjustments on your account. This retention applies in all circumstances, including where your policy is cancelled or lapses. This approach is intended to reduce administrative costs and is consistent with our obligations under FCA rules.
• For certain commercial policies requiring full payment at inception, no refund will be payable if the policy is cancelled before renewal.

Payment Terms

Unless otherwise agreed in writing, our payment terms are as follows:

• New policies – Payment in full is required on or before the inception date.
• Alterations to existing policies – Payment in full is required on or before the effective date of change.
• Renewals – Payment in full is required before the renewal date.

Failure to Pay

All invoices are payable immediately, in full, without deduction or set off. If payment is not received in accordance with these terms, we or your insurer may cancel or lapse your policy. This could leave you without cover and may result in part or all of a claim not being paid.  Outstanding debts may be referred to a third-party debt collection agency and will incur additional charges, plus VAT. Commercial customers may also be charged interest under the Late Payment of Commercial Debts (Interest) Act 1998, which applies both before and after judgment.

Payment Processing

Any payments we receive will be held in a designated client trust account in accordance with FCA rules. Where risk transfer applies, payments received by us are treated as if they have been received by your insurer. We do not consider payment to have been made until funds have cleared in our account. If the insurer requires the premium by a specific date and payment is late, the policy may be cancelled automatically by the insurer.

Handling Money

We act as agents of the insurer in collecting premiums and handling refunds due to clients. In these circumstances such monies are deemed to be held by the insurer(s) with which your insurance is arranged. If Risk Transfer does not apply, such monies will be held by us in a Non-Statutory Trust account pending payment. Please note that such bank accounts are held by our principal Bullerwell & Co LTD in line with FCA regulations. The establishment of the Non-Statutory Trust account follows the rules which the FCA introduced to protect money held by authorised intermediaries. However, you should be aware that, under the Non-Statutory Trust account rules, we are permitted to use such monies temporarily held to advance credit to clients generally. A copy of the Deed of Trust is available on request or may be inspected at our premises during normal office hours. If you object to your money being held in a Non-Statutory Trust account, you should advise us immediately. Otherwise, your agreement to pay the premium together with your acceptance of these Terms of Business will constitute your informed consent to our holding your money in a Non-Statutory Trust account. Interest earned on monies held in such a Non-Statutory Trust account will be retained by us.

Instalment Payments

If you choose to pay your premium by instalments, this may be arranged either through your insurer’s own scheme or via a third-party finance provider such as Premium Credit Limited.

Credit Arrangements

• We will provide you with full details of your monthly instalments and the terms of the credit agreement. You must read these documents carefully.
• Paying by instalments does not mean you are buying one month of cover at a time – you will still be entering into an annual insurance contract and repaying the finance provider for the full annual premium.
• Credit is subject to status, UK residency, and your ability to pay by Direct Debit. The finance provider may carry out a credit check, and details of this search will be recorded by  the credit reference agency whether or not your application proceeds.
• You will receive a credit agreement and supporting documents from the finance provider, which you must read carefully. These will explain the cost of credit, interest charges, and your obligations under the agreement.

Missed or Failed Payments

• If you default on any instalment, the finance provider may cancel your credit agreement and instruct us to cancel your policy. In such cases we act as your agent in passing on that instruction.
• If the finance provider cancels your agreement and you do not make alternative arrangements with us, you authorise us to instruct the insurer to cancel your policy and to collect any return premium.
• Any return premium will be used to reduce your outstanding debt with the finance provider. If the refund is insufficient, you remain liable for the balance, and we may recover this directly from you.
• You remain responsible for any time on risk charges (the cost of cover provided up to the date of cancellation) and for arranging replacement insurance if needed.

Liability for Outstanding Premium

• If you pay your premium by instalments and default on payments, you remain liable for the full outstanding balance of the finance agreement, even if your policy is cancelled mid-term.
• Refunds (if any) will be returned to the finance provider to offset your debt.

Claims and Instalments

If you make a claim under a policy being paid by instalments, you must continue to make your monthly payments or settle the outstanding balance in full. Failure to do so may allow the insurer to delay or refuse settlement of your claim until the premium has been paid.

Reporting Claims

Notification of Incidents and Claims

It is essential that you notify us or your insurer immediately of any incident or circumstance that may give rise to a claim under your policy, whether you believe you are liable or not. Prompt notification enables insurers to protect your interests.

• All policy documents will include the appropriate claims contact details for your insurer.
• Any correspondence, letter of claim, or legal document received by you must be forwarded to us immediately, without acknowledgement.
• For motor insurance claims, please contact the Accident Assist line on 03030 037 769 for immediate support and recovery of uninsured losses where applicable.
• Failure to notify promptly may result in delays, penalties, or refusal of your insurer to pay the claim.

We do not have authority to handle or settle claims on behalf of insurers. Where claims payments are made via us, we will transfer these to you promptly once received. We will employ due care and skill if we act on your behalf in respect of a claim. Please note, however, that we cannot accept liability for unpaid claims if an insurer delays settlement or becomes insolvent.

Ending Your Relationship with Us

You may end your relationship with us at any time by giving written notice, provided that all outstanding premiums and fees are settled in full. Your instructions will take effect from the date we receive them.

If we decide, for any reason, that we cannot continue to act for you, we will give you at least 7 days’ notice in writing.

Unless otherwise agreed, any transactions already initiated before the end of our relationship will be completed in accordance with these Terms of Business. You will remain responsible for paying for any transactions finalised prior to termination. We reserve the right to retain any commission or fees earned for business already placed or services already provided.

Mid-Term Transfers

If your policy was originally arranged by another party and you transfer its administration to us mid-term, we will not be liable for any errors, omissions, or gaps in cover that occurred before the transfer or for advice we did not provide.

If you have concerns about a transferred policy or require an immediate review of your insurance arrangements, you must notify us straight away. Otherwise, we will review your arrangements at renewal and advise you accordingly.

Personal Data & Credit Checks

We are the Data Controller for the personal information you provide to us. We use your data to arrange your insurance and related products, as well as for marketing purposes. If you prefer not to receive marketing communications, please let us know.

Providing your information is necessary for us to deliver our services. We may share your data with third parties such as insurers, auditors, consultants, credit providers, banks, payment processors, fraud prevention agencies, databases, and regulators. While we process all data within the UK, if we need to transfer your information outside the European Economic Area (EEA), we will take appropriate steps to protect your privacy.

To comply with legal requirements, we retain your data for at least seven years. We have a robust Data Protection framework to ensure your information is handled securely and responsibly. You have the right to request access to the data we hold about you, request corrections, ask for your data to be sent to a third party, or request deletion—subject to legal obligations to retain certain information.

If you have any concerns about how we manage your data, please contact us and we will investigate your complaint. Should you be unsatisfied with our response, you may also escalate the matter to the relevant supervisory authority.

We, along with other firms involved in arranging your insurance—such as insurers, intermediaries, and premium finance companies may access public and personal information from various sources, including credit reference agencies and other organisations. This information helps us tailor pricing, determine suitable payment options, and prevent fraud. Please note that any credit reference check will be recorded on your credit report, regardless of whether your application proceeds.

If you have any questions about this or any other matter, please feel free to contact us.

Conflicts of Interest

From time to time, situations may arise where we, one of our associated companies, clients, or product providers have a potential conflict of interest in relation to the business we are conducting on your behalf. If we identify such a conflict, we will inform you in writing before proceeding with your instructions. We will explain the nature of the conflict, the steps we will take to manage it, and will seek your consent to continue, ensuring that you are always treated fairly.

Complaints and Compensation

We aim to always provide you with a high level of customer service but, if you are not satisfied, please contact us:

in writing… Write to Parkstone Insurance Limited, 20-22 Parkside, Horsforth, Leeds, LS18 4DN
by phone… Telephone 0113 323 6088 or email info@parkstoneinsurance.co.uk.
When dealing with your complaint, we will follow our complaint handling procedures; a summary of these procedures is available on request. If you are still not satisfied, you may be entitled to refer the matter to the Financial Ombudsman Service. (FOS). For further information, you can visit FOS website www.financial-ombudsman.org.uk, or call them on 0800 023 4567

We are covered by the Financial Services Compensation Scheme (FSCS). You may be entitled to compensation from the scheme if we cannot meet our obligations. This depends on the type of business and the circumstances of the claim. If you are eligible to claim from the FSCS, compensation is available as follows:

• Insurance advising and arranging is covered for 90% of the claim, without any upper limit
• For compulsory classes of insurance (such as Third-Party Motor or Employers Liability), insurance advising and arranging is covered for 100% of the claim without any upper limit

Further information about compensation scheme arrangements is available from the FSCS on 0800 678 1100 (freephone) or 020 7741 4100 or https://register.fca.org.uk/.