Our Remuneration

Signature Financial Planning Ltd acts as intermediary between you, the consumer, and the product provider with which we arrange your business.

The Background

Pursuant to provision 4.58A of the Central Bank of Ireland’s September 2019 Addendum to the Consumer Protection Code, all intermediaries, must make available in their public offices, or on their website if they have one, a summary of the details of all arrangements for any fee, commission, other reward or remuneration provided to the intermediary which it has agreed with its product producers.

What is Remuneration?

Remuneration is the payment earned by the intermediary for work undertaken on behalf of both the provider and the consumer. The amount of remuneration is generally directly related to the value of the products sold.

What is Commission?

Commission is payment that may be earned by an intermediary for work undertaken for both provider and consumer.

There are different types of remuneration and different commission models:

Single commission model
Where payment is made to the intermediary shortly after the sale is completed and is based on a percentage of the premium paid/amount invested/amount borrowed.

Trail/Renewal commission model
Further payments at intervals are paid throughout the life span of the product.

Indemnity Commission
Indemnity commission is the term used to describe a commission payment made before the commission is deemed to be ‘earned’. Indemnity commission may be subject to a clawback (see below) if the consumer lapses or cancels the product before the commission is deemed to be earned.

Other forms of indemnity commission are advances of commission for future sales granted to intermediaries in order to assist with set up costs or business development.

Life Assurance/Investments/Pension Products

For Life Assurance products commission is divided into initial commission and renewal commission (related to premium), fund based or trail (relating to accumulated fund).

Trail commission, bullet commission, fund based, flat commission or renewal commission are all terms used for ongoing payments. Where an investment fund is being built up though an insurance-based investment product or a pension product, the increments may be based on a percentage of the value of the fund or the annual premium. For a single premium/lump sum product, the increment is generally based on the value of the fund.

Life Assurance products fall into either individual or group protection policies and Investment/Pension products would be either single or regular contribution policies. Examples of products include Life Protection, Regular Premium Life Assurance Investments, Single Premium (lump sum) Insurance-based Investments, and Single Premium Pensions.

Investments

Investment firms, which fall within the scope of the European Communities (Markets in Financial Instruments) Regulations 2007 (the MiFID Regulations), offer both standard commission and commission models involving initial and trail commission. Increments may be based on a percentage of the investment management fees, or on the value of the fund.

Clawback

Clawback is an obligation on the intermediary to repay unearned commission. Commission can be paid directly after a contract is concluded but is not deemed to be ‘earned’ until after a specified period of time. If the consumer cancels or withdraws from the financial product within the specified time, the intermediary must return commission to the product producer.

Fees

The firm may also be remunerated by fee by the product producer such as policy fee, admin fee, or in the case of investment firms, advisory fees. We have no such arrangement with any Product Producer.

Other Fees, Administrative Costs/ Non-Monetary Benefits

The firm may also be in receipt of other fees, administrative costs, or non-monetary benefits such as:

Attendance at product provider seminars.

Set out below are the product providers with which we hold an agency. Remuneration arrangements are shown for each provider and product type.

New Ireland Assurance Company plc

Single contribution products

Initial Commission Clawback Period Trail commission per annum (p.a.)
Single Contribution Pension
Max 5% 5 years 1%
Single Contribution PRSA
Max 7% 5 years 0.5%
Approved (Minimum) Retirement Funds
Max 5% n/a 1%
Annuities
Max 3% n/a n/a
Single Premium Investment Policies
Max 4% 3 years 1%

Regular contribution products

Initial Commission Clawback Period Renewal / Flat Commission Trail Commission per annum (p.a.)
Regular Contribution Pension
Max 25% 5 years 8% p.a. 1% p.a.
Regular Contribution PRSA
Max 25% 5 years 6% p.a. 0.5% p.a.
Regular Premium Investment Policies
Max 10% 5 years 2.5% p.a. 0.5% p.a.

Individual protection

Year 1 2 3 4 5 6 7 8 9+
Max 225% 50% 20% 20% 20% 12.5% 12.5% 12.5% 12.5%
Clawback Period 5 years

Group protection

Death in Service Permanent Health Insurance
Year 1+ 1+
Max 15% 20%
Clawback Period 1 year 1 year

Irish Life Assurance

Product Initial Commission (year 1) Trail Commission(p.a.) Renewal Commission p.a. Other Commission
Unit Linked Pension Products
Pre-Retirement
(PP, PRSA, CP & PRB)
Annual Premium Max
17.5%
(1st Bullet)
0.5% trail 5%
17.5%
(Bullets X 3)
N/A
Single Premium
Max 5% 0.75% N/A N/A
Unit Linked
Pension products
Post Retirement (ARF / AMRF)

Single Premium
Max 5% 0.75% N/A N/A
Guaranteed Annuity Single Premium
Max 3%
Investment Bonds Single Premium
Max 3% 0.5% N/A N/A
Investment Only Single Premium
Max 5% 0.5% N/A N/A
Savings Products Annual Premium
Max 5.5%
(1st Bullet)
0.25% trail to year 8,
0.5% trail from year 9
5.5% Bullets X 3 N/A

Yr1 Additional (annual) Renewal (annual)
Protection Option 1 100% From Year 2 - 5: 20% From Year 6: 3% level
From Year 6: 6% indexed
Option 2 25% level From Year 2 - 10: 25% From Year 11: 10% level
28% indexed From Year 2 - 10: 28% From Year 11: 13% indexed
Option 3 20% level From Year 2: 20% level
23% indexed From Year 2: 23% indexed
Option 4 80% Level From Year 2: 12% level
80% Indexed From Year 2: 15% indexed
Default Profile
Income Protection Max 120% Year 3 & Year 6: 30% From Year 7: 3% level
From Year 7: 6% indexed

Group Protection

Renewal commission
Life
Max 6%
Income protection
Max 12.5%
Serious Illness Cover
Max 12.5%

Irish Life Assurance plc (Portus platform)

Product Initial Commission (year 1) Trail Commission (p.a.) Renewal Commission (p.a.) Other Commission
Unit Linked Pension Products
Pre-Retirement
(PP, PRSA, CP & PRB)
Annual Premium Max Range 10% 1% 4%
(2nd bullet)
N/A
Single Premium Max Range 5% 1% N/A N/A
Unit Linked Pension products
Post Retirement (ARF / AMRF)
Single Premium Max Range 5% 1% N/A N/A
Guaranteed
Annuity
Single Premium Max Range 5% 1% N/A N/A
Investment Bonds Single Premium Max Range 5% 1% N/A N/A
Investment Only Single Premium Max Range 5% 1% N/A N/A
Savings Products Annual Premium Max Range 0% 0.75% N/A N/A

Yr1 Additional (annual) Renewal (annual)
Protection Option 1 100% From Year 2 - 5: 20% From Year 6: 3% level
From Year 6: 6% indexed
Option 2 25% level From Year 2 - 10: 25% From Year 11: 10% level
28% indexed From Year 2 - 10: 28% From Year 11: 13% indexed
Option 3 20% level From Year 2: 20% level
23% indexed From Year 2: 23% indexed
Option 4 80% Level From Year 2: 12% level
80% Indexed From Year 2: 15% indexed
Default Profile
Income Protection Max 120% Year 3 & Year 6: 30% From Year 7: 3% level
From Year 7: 6% indexed

Group Protection

Renewal commission
Life
Max 6%
Income protection
Max 12.5%
Serious Illness Cover

Aviva Life & Pensions Ireland DAC

Standard Commission Terms

Flexible Protection, Mortgage Protection Plan, Personal and Executive Pension Term Assurance

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 +
22% - 150% 3% - 22% 3% - 22% 3% - 22% 3% - 22% 3% - 22% 3% - 22%

Personal & Executive Income Protection & WageProtector

Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7+
30% - 200% 15% - 30% 15% - 30% 15% - 30% 3% - 30% 3% - 30% 3% - 30%

Unit Linked Products

Heritage Aviva Product Heritage Friends Product
Initial Trail Bullet Initial Trail Bullet
Single Contribution Pension
Default n/a n/a n/a n/a n/a n/a
Max 5% 1% n/a 5% 0.75% n/a
Single Contribution PRSA
Default n/a n/a n/a n/a n/a n/a
Max 4% 0.50% n/a 7.50% 0.25% n/a
Approved (Minimum) Retirement Funds
Default n/a n/a n/a n/a n/a n/a
Max 5% 1% n/a 5% 0.75% n/a
Annuities
Default 2% n/a n/a 2% n/a n/a
Max 3% n/a n/a 3% n/a n/a
Investment Bonds
Default n/a n/a n/a n/a n/a n/a
Max 5% 1% n/a 4% 0.75% n/a
Investment Only
Default n/a n/a n/a n/a n/a n/a
Max 1% 1% n/a 5% 0.75% n/a
Regular Contribution Pension
Default n/a n/a n/a n/a n/a n/a
Max 15% 1% 40% 25% 0.75% n/a
Regular Contribution PRSA
Default n/a n/a n/a n/a n/a n/a
Max 22.50% 0.50% n/a 17.50% 0.25% n/a
Savings Plan
Default n/a n/a n/a 10% n/a n/a
Max 15% 1% n/a 10% 0.75% n/a

Group Life

Yr1 Yr2+
Default Flat commission of either 0% or 6% 0% or 6% each year thereafter
Max 6% 6%

Group Income protection

Yr1 Yr2+
Default Flat commission of either 0% or 12.5% 0% or 12.5% each year thereafter
Max 12.5% 12.5%

Zurich Life Assurance plc

This document provides summary details of the commission arrangements I/we have in place for unit-linked and protection business with [Zurich Life Assurance plc]. Alternative commission structures may be available which are different from the commission structures shown below.

These details are correct as at 1st April 2020.

Single contribution products (Pensions, Investments)

Up front commission Trail commission (p.a.)
Single Contribution Pension
Max 5.50% 0.50%
Single Contribution PRSA (Standard)
Max 5.50% 0.00%
Single Contribution PRSA (Non-Standard)
Max 5.0% 0.50%
Approved (Minimum) Retirement Funds
Max 5.0% 0.50%
Annuities
Max 3.0% N/A
Investment Bonds
Max 5.0% 0.50%
Trustee Investment Plans
Max 5.0% 0.50%

Commission clawback:
Commission clawback typically does not apply on single contribution products

Regular contribution products (Pensions, Savings)

Initial commission Renewal / Bullet Commission Trail commission (p.a.)
Regular Contribution Pension
Max 20.0% 3.0% renewal 0.50%
Regular Contribution PRSA (Standard)
Max 5.0% 5.0% renewal 0.0%
Regular Contribution PRSA (Non-Standard)
Max 5.0% 5.0% renewal 0.50%
Savings Plan
Max 10.0%% 1.0% renewal 0.50%

Commission clawback:
Commission clawback applies over a 4 year period for all initial commission.
Commission clawback also applies over a 4 year period for any bullet commission noted.

Individual Protection

Guaranteed Term Protection & Guaranteed Mortgage Protection

Yr1 2 – 10 11+
Max 100% 12% 3%

Commission clawback:
Commission paid in year 1 is earned over a 12 month period.

Guaranteed Whole of Life

Yr1 2 – 5 6+
Max 90% 18% 3%

Commission clawback:
Commission paid in year 1 is earned over a 12 month period.

Group Protection

Group Life Cover

Yr1 2 3
Max 6.0% 6.0% 6.0%

Commission clawback:
Does not apply. Commission is paid as premiums are received.

Group Permanent Health Insurance & Group Serious Illness Cover

Yr1 2 3
Default
Max 12.5% 12.5% 12.5%

Commission clawback:
Does not apply. Commission is paid as premiums are received.

Standard Life

Single contribution products

Initial Commission Clawback Period Trail commission (p.a.)
Single Contribution Pension
Max 5% N/A 1%
Single Contribution PRSA
Max 5% N/As 0.5%
Approved (Minimum) Retirement Funds
Max 4% N/A 1%
Annuities
Max 2% N/A N/A
Single Premium Investment Policies
Max 4% N/A 1%

Clawback period is the timeframe where Standard Life can take a proportion of the commission paid back from an adviser if the premium/contribution ceases, reduces, or the product is closed.

Regular contribution products

Initial Commission Clawback Period Renewal Commission
per annum
Trail Commission
per annum (p.a.)
Regular Contribution Pension
Max (front loaded) 1.25% x term
(max 25%)
5 years* 2% 1%
Regular Contribution Pension
Max (level) 5% N/A 5% 1%
Regular Contribution PRSA
Max 5% N/A 5% 0.5%
Savings plan
Funded Initial Commission*
Max 0-15%** 5 years* N/A 1%
Savings plan
Premium based***
Max 0-15% N/A N/A 1%

*If the initial contributions are not maintained for 5 years, a proportion of the initial commission paid will be claimed back from the intermediary.
** Percentage payable as a lump sum after the first premium is paid.
*** For every 1% taken there is a corresponding plan charge of 0.04% per annum. Commission is paid after the first premium is paid. FIC is subject to commission clawback.

Royal London

Alternative commission structures may be available which are different from the commission structures shown below due to commission sacrifice.

Individual protection

Year <Maximum>* Commission Rate Available Clawback period
(when polices cancel)
1 225%

5 years

2 0%
3 0%
4 0%
5 0%
6 3%
7 3%
8 3%
9+ 3%

*This maximum commission rate includes indexation policies as well as any special offers that are currently available. This may not necessarily accurately reflect your business processes. The maximum commission rate chosen by you and the average commission rate taken by you will be available on our Broker Centre. These maximum and average figures may help to provide an indication of the rates of commission you typically expect to receive.

Other Product Providers

Non-Insurance based Lump Sum Investments

Provider Initial Commission
(Year 1 Max.)
Renewal or Trail Commission Other Commission
J&E Davy 3% N/A N/A
Wealth Options Ltd 3% N/A N/A

Non-Insurance Based Pension Investments

Newcourt Retirement Fund Managers

Product Fund Size Trail Commission Payable
PRB €100,000 to €500,000* 0.25%
PRB Over €500,000* 0.25%
ARF/AMRF €100,000 to €299,999 0.25%
ARF/AMRF €300,000 to €499,999 0.25%
ARF/AMRF Over €500,000 0.15%
PRSA Less than €25,000 No Commission
PRSA €25,000 to €100,000 No Commission
PRSA €100,000 to €499,999 0.25%
PRSA €500,000 to €1,999,999 0.15%
PRSA Over €2,000,000 0.10%

*Minimum Fee of €750 to Newcourt

Effective Date: 31 March 2020 V.1

Signature Financial Planning Ltd is regulated by the Central Bank of Ireland