Contract Certainty

What is Contract Certainty?

The objective of contract certainty is to provide clarity for both customer and insurer on the terms and conditions of the policy prior to inception/renewal. Evidence of cover must be provided within 7 working days of inception/renewal for retail customers and 30 days for commercial customers.

Within the Contract Certainty Code of Practice developed by the MRG contract certainty has been defined as follows:

Contract certainty is achieved by the complete and final agreement of all terms (including signed lines) between the insured and insurers before inception.

In addition:

  1. The full wording must be agreed before any insurer formally commits to the contract.
  2. An appropriate evidence of cover is to be issued within 30 days of inception for commercial customers and within 7 working days for retail customers.

This has become the accepted definition throughout the UK insurance market and has been noted and agreed by the Financial Conduct Authority (FCA). The full wording of the submission to insurers will be a combination of:

  1. wordings and/or clauses
  2. either referenced and/or full text
  3. bespoke and/or model material

Brokers may choose which combination is submitted to insurers; insurers may choose whether to accept this or require a different approach.

Where Allianz Commercial policy wordings and clauses are required, these can be downloaded from the Document Centre or dedicated product pages. Alternatively, you can use the search application available on this site.

Further information can found by visiting the following websites: