Liability Insurance :: News
SHARE

Share this news item!

Broker Remuneration Debate Puts Disclosure on the Agenda

Why agency owners should treat transparency as part of their insurance renewal checklist

Broker Remuneration Debate Puts Disclosure on the Agenda?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The debate over Australia’s draft Insurance Brokers Code of Practice has intensified, with industry and consumer voices questioning whether the proposed changes go far enough on remuneration disclosure and conflict management.
For real estate agencies, the issue is not abstract.
Many agencies rely on intermediated advice when arranging professional indemnity, public liability, management liability, cyber cover, office insurance and commercial motor policies.

The National Insurance Brokers Association released its rewritten draft code for consultation in July 2026. The draft includes stronger disclosure for strata insurance clients, a requirement to show remuneration as a dollar figure on invoices, and an ability for clients to ask what their broker is paid. It also proposes improvements around vulnerable clients, pre-renewal contact and record keeping.

However, criticism has centred on whether small business clients should receive automatic disclosure across all general insurance products, not only where the product is treated as a retail product under the Corporations Act. That distinction matters for agency principals because real estate businesses often sit in the space between consumer-style reliance on advice and commercial insurance complexity. A busy agency may not have in-house insurance expertise, yet it may still be making decisions about limits, exclusions, excesses and claims scenarios that can materially affect the business.

This story is also an extension of the wider transparency conversation already affecting strata and property professionals. If commissions, referral arrangements or commercial relationships are not clearly understood, agency leaders may struggle to assess whether a recommendation is based on suitability, market access, insurer appetite or remuneration structure.

Practical steps for real estate agencies include:

  • Ask your broker to set out all fees, commissions and other remuneration in dollar terms before renewal.
  • Request a written explanation of why each recommended policy suits your agency’s risk profile.
  • Check whether professional indemnity, public liability, cyber and management liability limits reflect your current rent roll, sales activity and staffing model.
  • Keep evidence of renewal discussions, declined options and insurer responses in your compliance records.
  • Use the consultation period as a prompt to review whether your agency is receiving enough clarity from its current brokers.

The key takeaway is simple: transparency should be treated as part of the insurance buying process, not an optional extra. Real estate professionals do not need to become insurance technicians, but they should be confident that advice, remuneration and conflicts are explained in plain English. With consultation on the draft code closing on 7 August 2026, now is a sensible time to compare renewal options and tighten internal insurance governance before the next policy cycle.

Published:Tuesday, 21st Jul 2026
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Insurance News

Broker Remuneration Debate Puts Disclosure on the Agenda
Broker Remuneration Debate Puts Disclosure on the Agenda
21 Jul 2026: Paige Estritori
The debate over Australia’s draft Insurance Brokers Code of Practice has intensified, with industry and consumer voices questioning whether the proposed changes go far enough on remuneration disclosure and conflict management. For real estate agencies, the issue is not abstract. Many agencies rely on intermediated advice when arranging professional indemnity, public liability, management liability, cyber cover, office insurance and commercial motor policies. - read more
Overseas Medical Emergency Puts Travel Insurance Back in Focus
Overseas Medical Emergency Puts Travel Insurance Back in Focus
21 Jul 2026: Paige Estritori
A recent Australian travel insurance case has offered a sharp reminder that the most expensive travel risk is often the one no traveller expects. According to Finder, an Australian woman who became seriously ill while 19 weeks pregnant in Mallorca faced medical costs of more than $40,000 after being taken to hospital by ambulance. The ambulance component alone reportedly reached $12,000, with the remaining costs linked to hospital admission, testing and treatment. - read more
What Unfair Trading Reform Could Mean for Small Business Insurance Claims
What Unfair Trading Reform Could Mean for Small Business Insurance Claims
21 Jul 2026: Paige Estritori
Australia’s latest unfair trading practices reform has opened a fresh debate for the insurance sector, with small business advocates and insurers watching closely to see whether the new rules will eventually extend into business-to-business dealings. - read more
What Victoria’s Bushfire Loss Estimate Means for Restaurant Cover
What Victoria’s Bushfire Loss Estimate Means for Restaurant Cover
21 Jul 2026: Paige Estritori
Australia’s latest bushfire loss update offers a practical warning for restaurant, café and hospitality operators: natural catastrophe risk is not confined to homes, farms or large industrial sites. Perils has lifted its estimate for the January 2026 Victorian bushfires to $860 million, with commercial properties accounting for the largest share of insured losses. - read more


Business Insurance Articles

The Role of Insurance in Protecting Your Small Business Assets
The Role of Insurance in Protecting Your Small Business Assets
In the bustling world of small businesses, the phrase 'expect the unexpected' captures the essence of entrepreneurship. While you can plan for success, unforeseen risks are always lurking around the corner. That's where the importance of insurance comes into play. It acts as a safeguard, protecting the lifeblood of your business against potential perils. - read more
The Cost of Being Uninsured: Why Every Australian Small Business Needs Liability Coverage
The Cost of Being Uninsured: Why Every Australian Small Business Needs Liability Coverage
Welcome to the complex world of running a small business in Australia where navigating through liability risks is as crucial as managing daily operations. This article is crafted to illuminate why every Australian small business needs liability coverage — a shield to protect against potential financial catastrophes. - read more
The Importance of Documentation in Public Liability Claims
The Importance of Documentation in Public Liability Claims
Public liability insurance is an essential part of any business's risk management strategy, especially for those operating in Australia. It's designed to protect businesses when they're found legally responsible for injury or damage to third parties due to their operations. But what happens when you need to make a claim? That's where understanding the claims process becomes vital. - read more
Understanding Product Liability Insurance in Australia: A Business Owner's Guide
Understanding Product Liability Insurance in Australia: A Business Owner's Guide
As a business owner in Australia, navigating the complexities of protecting your company is crucial, with product liability insurance being an essential aspect to consider. This type of insurance is designed to shield businesses from financial losses that may arise if a product they manufacture, supply, or sell causes harm to a consumer or damages property. - read more


Start Here !
Start here!
Cover Amount:
Postcode:

All quotes are provided obligation-free by a participating broker from our national referral partner network. We respect your Privacy.


Knowledgebase
Umbrella Policy:
An additional insurance policy that provides extra liability coverage beyond the limits of the insured's primary policies.