Duties of insurance intermediaries

Insurance intermediaries have a duty to provide various information to their clients. This information must be made available in a clear and comprehensible form before conclusion of the contract (Art. 45 ISA).

This applies to both individuals and legal entities, sole traders and partnerships.

Untied insurance intermediaries must expressly inform clients of all compensation they receive from insurance companies or third parties in connection with the provision of their services (Art. 45b ISA).

This applies to both individuals and legal entities, sole traders and partnerships.

Insurance intermediaries must possess the necessary skills and knowledge for their activities (Art. 43 para. 1 ISA in conjunction with Art. 190 ISO).

This is a prerequisite for entry in the FINMA register.

Insurance intermediaries listed in the FINMA register as at on 1 January 2024 must meet the further training requirements within two years of the new regulation entering into force, or at the latest two years after recognition of the minimum standards by FINMA (Art. 216c para. 7 ISO). Further information on the future organisation of training and further education can be found on the website of the Insurance Industry Vocational Training Association (VBV).

This applies to individuals.

Insurance intermediaries must enjoy a good reputation and guarantee compliance with their obligations in accordance with the ISA (Art. 41 para. 2 let. b ISA in conjunction with Art. 187 ISO). This guarantee requirement must be complied with at all times and comprises of professional suitability as an insurance intermediary (training and further education) on the one hand and integrity (properness) on the other

This applies to both individuals and legal entities, sole traders and partnerships.

Insurance intermediaries must notify FINMA of any changes in circumstances underpinning the registration (Art. 184 para. 1 and Annex 6 in conjunction with Art. 185 para. 1 ISO). FINMA must be notified of relevant changes immediately via the electronic survey platform (EHP).

This applies to both individuals and legal entities, sole traders and partnerships.

Specific obligations apply in connection with qualified life insurance policies (cf. Art. 39h, 39j – 39k ISA).

This applies to both individuals and legal entities, sole traders and partnerships.

Insurance intermediaries may operate only as either tied and untied; they are prohibited from acting as tied and untied insurance intermediaries at the same time (Art. 44 para. 1 let. b ISA). In addition, they may not exercise any activity for the benefit of insurance companies who are not FINMA-authorised (Art. 44 para. 1 let. a ISA).

This applies to both individuals and legal entities, sole traders and partnerships.

FINMA levies an annual supervision charge on supervised insurance intermediaries (Art. 15 FINMASA; SR 956.1), amounting to CHF 475 for individuals. The supervision charge for 2024 will be billed in the third quarter.

This applies to individuals.

Untied insurance intermediaries must submit key figures and information relating to their activities required for supervision to FINMA on an annual basis (Art. 190b ISO).

This applies to legal entities, sole traders or partnerships.

Insurance intermediaries must take appropriate organisational steps to avoid conflicts of interest during the course of their intermediary activities, or to prevent policyholders from being disadvantaged by conflicts of interest (Art. 45a para. 1 ISA in conjunction with Art. 182c ISO). If such conflicts of interest cannot be ruled out, they must be disclosed to clients before the contract is concluded (Art. 45a para. 2 ISA).

This applies to legal entities, sole traders or partnerships.

All employees carrying out untied insurance intermediary activities in accordance with article 40 ISA must be listed in the FINMA register. Employees working as untied insurance intermediaries who are not registered are acting without authorisation (Art. 41 para. 1 ISA e.c.).

This applies to legal entities, sole traders or partnerships.

Insurance intermediaries must ensure they meet the obligations under the ISA through internal regulations and appropriate corporate governance (Art. 188 para. 1 ISO).

This applies to legal entities, sole traders or partnerships.

In order to register, insurance intermediaries must have professional liability insurance (or equivalent financial surety) covering the company as well as the employees carrying out intermediary activities (Art. 41 para. 2 let. d ISA in conjunction with Art. 189 ISO). FINMA must be notified immediately if there is a change of insurer or coverage (Art. 185 para. 1 and 2 ISO) and new proof of cover must be submitted.

This applies to legal entities, sole traders or partnerships.

Untied insurance intermediaries must immediately report to FINMA any incident that is of substantial importance to the supervision (cf. Art. 29 para. 2 of the Financial Market Supervision Act, FINMASA, SR 956.1). Please use the email address vermittler@finma.ch for this purpose.

A special procedure applies to the reporting of cyber incidents based on Article 29 para. 2 FINMASA: Cyber attacks of substantial importance must be reported to FINMA in accordance with Guidance 05/2020 in combination with Guidance 03/2024 in writing within 24 hours of discovery via the following email address: vermittler.cyber@finma.ch (advance notice to FINMA). The actual notification must be submitted within 72 hours via FINMA’s survey and application platform (EHP).

This applies to both individuals and legal entities, sole traders and partnerships.