TERMS OF BUSINESS AGREEMENT BETWEEN PREMIUM CHOICE LIMITED AND THE POLICYHOLDER

Terms and Conditions

These terms will apply to your use of our telephone and on-line services, whether or not you choose to take out insurance cover and access to our website demonstrates your agreement to these terms. Please read these terms carefully and print a copy – particularly if you choose to take out insurance cover with us. These terms are subject to change at any time and we will display only the current version on our website. If you access our website or use our online service after we have changed these conditions you will be accepting the changed versions. If you do not understand at any point or are unsure about any matter, please contact us for guidance

The Financial Conduct Authority

Premium Choice Limited is authorised and regulated by the Financial Conduct Authority (FCA), the independent watchdog that regulates Financial Services. Our FCA Registration number is 312245. Our permitted business is advising, arranging and dealing as an agent of insurers and clients, assisting in the administration and performance of general insurance contracts. You may check this on the FCA's register by visiting the FCA website, www.fsa.gov.uk/register/home.do or by contacting the FCA on 0845 606 1234

Our Service

Premium Choice Limited is an insurance broker. Our services include: advising you on your insurance needs; arranging your insurance cover with insurers to meet your requirements and helping you with any ongoing changes you have to make. When you appoint us to work for you, we become your agent. This means that we are acting in your interests and upon your instructions, to secure the agreed outcome for you. There are occasions where we undertake certain duties on behalf of an insurer (for example, we sometimes issue policy documentation), and when this takes place the legal position is that we are acting on behalf of the insurer only for that specific task. We offer a wide range of insurance products and conduct a fair analysis of the market using our available panel of insurers in respect of, Private Motor Policies, Private Motorcycle Policies; Specialist Vehicle Policies; Household Policies and Commercial Policies . This means that we have compared products from a sufficiently large range of insurance providers in terms of cover, price, quality of service and other relevant features in order to select appropriate policies for you. We are not contractually obliged to offer insurance from these insurers. A single insurer has been selected as being suitable following an assessment of similar products commonly available for Claims Manager Policies, Breakdown Policies, Keycare Policies, Theft Protection Policies, Excess Protection Policies, Windscreen Cover Policies, Helmet & Leather Policies, Personal Accident Policies and Accident Death Policies we are not contractually obliged to offer insurance from the insurer of these policies. We will advise and make recommendations for you after we have assessed your needs. A full list of insurers is available upon request.

Charges for Our Services

We normally receive commission from the insurers or product providers with whom we deal and may make charges up to the following amounts for the ongoing administration of your insurance.

*we will also retain our commission on any adjustment. When your policy is arranged you will be informed of the total price to be paid, including any fees, taxes and charges separately from the premium, before your insurance arrangements are concluded. This will also be displayed within your welcome documentation.

Cancellation of Policy

Once we have arranged your insurance cover and have processed your policy documentation you have a statutory right to cancel this insurance within an initial period of 14 days. Please refer to your policy summary or your policy document for further details. If the policy is cancelled within the initial period you will receive a pro rata refund of premium from the insurer. We may also charge an amount of £50 that reflects our administration costs of arranging and cancelling the insurance. Our commission may be excluded from any refund calculations. If the policy is cancelled at any time, you must send us your current Certificate of Insurance (for motor insurance) or temporary cover note with a signed letter requesting cancellation. Be aware that cancellation refunds outside of the initial period are not given after a claim, and note that some insurers charge cancelled policies on a short period scale, resulting in a disproportionately greater charge for the period of insurance, and refunds being lower than clients' expectations. Please note that we are unable to backdate cancellations. If your policy contains any additional covers then these and our commission will be excluded from any refund calculations.

Your premium is periodically forwarded to the insurer and once this process has occurred, in the event of a refund we will request payment from the insurer. As a result refunds can not be issued until the insurer has released the funds. This process usually takes up to 30 days. You are always advised to discuss your options with us prior to deciding upon cancellation of your policy.

Should we believe beyond reasonable doubt that you have made a misrepresentation we may cancel your policy at any time by providing you with seven days written notice to your last known address. Your insurer may also declare the policy void from inception. (examples of misrepresentation include: Not telling us when asked about all driving offences, fixed penalties; bans or disqualifications or other driving related convictions for you or any other driver named on the policy; misrepresentation of your occupation or the type of employment you undertake; Incorrect information regarding your address or permanent place of residence; Inaccurate information regarding the intended use of the vehicle; Failure to inform us of any modifications to your vehicle and not informing us of any criminal convictions). Please note this list is not exhaustive.

Instalment Terms

Premium Choice out source all instalments paid over twelve months to third party providers. This is in order to assist our policyholders' in spreading their premiums over the maximum duration that is available and to conform to The Financial Conduct Authority solvency requirements.

By agreeing to pay over monthly instalments you will be entering into a finance agreement with Close Brothers Limited, trading as Close Premium Finance to pay your insurance premiums.

The cost of the finance will include the insurance premium, the interest at the agreed rate and may also include administration fees. These are illustrated within the welcome pack that will be sent to you. It is very important that you read the pre-contractual information included within the welcome pack and take time to consider all the information carefully. It contains details of the cost of the finance, the payments that you will need to make, the dates on which these will be due as well as the terms and conditions of the finance agreement itself, which is Close Brothers legal contract with you. This information will enable you to make an informed decision about whether or not this finance agreement is the right product for you.

Should you default on your agreement then a default fee will be applied when collecting the arrears. In the event of the agreement arrears not being cleared by a specific date, which will be advised to you, Close Brothers may terminate your agreement and enforce any security given by you under the terms of the agreement. This could result in the cancellation of your finance agreement, your insurance policy or both. You will be liable to pay all sums owing to Close Brothers as well as any charges that Close Brothers may impose upon you. This may also affect your credit rating. You have the right to withdraw from the finance agreement Close Brothers is offering you within 15 days commencing from the day you receive the Welcome Pack. There will be no charge for withdrawal from the finance agreement within the defined time and any money we have collected in respect of the finance agreement will be refunded, If you do withdraw from the finance agreement then you must find an alternative method of payment for your insurance premium.

You can repay the finance at any time, either in full or partial repayment. Where partial repayment is made you must continue to meet the remaining minimum monthly repayments.

You can obtain further information by contacting Close Brothers on 0870 990 7967 or by writing to Close Brothers at Close Premium Finance, 21^st Floor, Tolworth Tower, Ewell Road, Surbiton, KT6 7EL

For policy holders who wish to pay instalments over a shorter period of time, a facility is available whereby Premium Choice will deduct an agreed amount, on an agreed date, from a credit/debit card authorised by you.

In the event of your instalment becoming overdue or payment being declined from your card, you agree that such a default shall be construed as an instruction for Premium Choice to start policy cancellation procedures. In the event of an accident, claim or incident under your policy the balance for the total amount payable shall become due immediately on demand. You authorise Premium Choice to deduct any refund received from the underwriters from your outstanding balance and you understand that any shortfall following cancellation is your responsibility.

If you fail to pay any outstanding balance, shortfall or monies owing to us and we instruct any third party to collect this money from you, you agree that you will pay the reasonable costs of the third party collecting the money for us.

We use a third party to collect and store payment card information in accordance with industry standards. Should you fail to agree the suitable repayment of any outstanding balance, shortfall or monies we will use the card information stored on our behalf to collect this debt payment. We will inform you in advance of doing this.

Claims Procedure

If your vehicle is involved in an incident, or you wish to discuss or make a claim, please call PREMIUM CHOICE CLAIMS on 0845 674 0070 24 hours: 365 days. Premium Choice Limited and our partners will employ due care and skill if we act on your behalf in respect of a claim.

You should be aware that in the event of a claim, no premium refund will be issued by the insurer. (This is not necessarily true if cancelled within the initial cancellation period)

You further understand that Premium Choice Ltd or our partners will, where appropriate authorise solicitors to act on your behalf in connection with your claim. You authorise appointed solicitors to receive compensation monies and endorse cheques made payable to you.

Your Responsibilities

Your insurance is based upon the information provided to the insurance company. Unless otherwise indicated by the specific insurer underwriting your particular policy, the following circumstances apply. For Consumers (individuals buying insurance wholly or mainly for purposes unrelated to their trade, business or profession) you must take reasonable care to answer all questions fully and accurately. Once cover has been arranged, you must immediately notify us of any changes to the information that has been provided to your insurers. Failure to provide accurate and up to date information may invalidate your insurance cover and mean that part or all of a claim may not be paid. All other customers must disclose all 'Material Facts' (any information that may influence the insurer's decision over cover or terms) prior to inception and throughout the period of insurance. Failure to disclose material information may invalidate your insurance cover and could mean that a claim may not be paid. If you are unsure about any matter, please contact us for guidance.

We may require copies of documentation in order to validate the information that has been provided. Examples of the documentation are: Driving Licence (all sections) for all drivers on the policy; Proof of No Claims Discount; Proof of Address and Signed Proposal Form, please note this list is not exhaustive.

If your policy contains multiple drivers and we have requested a copy of the Driving Licence for all drivers on the policy, you are required to provide this information within the specified time period. Should you fail to provide this requested documentation for one or more of the drivers on your policy, we may amend your policy to remove cover for the driver(s). We will inform you in advance of doing this.

In the event of an amendment to your policy, the insurance company will assess the new risk that is being presented. This may result in a change of premium structure. This could mean that your premium could go up or down, depending upon the new risk that is being presented. The insurer may also charge an administration fee when carrying out the adjustment, this is in addition to our charges

Please be aware that for some changes in circumstances your insurer may not be able to cover the new risk that you present and this may result in the cancellation of your current policy. In this event however we will endeavour to provide you with an alternative quotation for a new policy with one of the other insurers on our panel.

You should be aware that no guarantee of the Driving Other Cars extension can be given until the Certificate of Insurance is issued and the extension is granted.

You confirm that you have the permission of all named drivers on the policy to provide us with their personal information such as name, address, occupation and information about health, criminal convictions or claims history.

It is most important that the information you have given is accurate. You are advised to revisit and print off or save the pages that you have completed online in order to obtain your quotation, and to keep these with your Insurance documents.

Your insurer will forward key information (such as vehicle registration number) to the Motor Insurance Database (MID) so it is vital that the information you provide is accurate and correct. You are at risk of having a fine imposed by the DVLA or your vehicle seized by the police should you provide inaccurate MID information. Premium Choice will not be held responsible for any subsequent fine or penalty resulting from the inaccurate MID information. You should keep a record, including copies of letters and electronic mail, of all correspondence supplied to us for the purpose of entering into this contract.

You must understand that, where you inform us that your vehicle is fitted with an engine immobiliser, this becomes a condition of your policy and, as such, unless there is an immobiliser fitted and/or it is in good working order, no indemnity against theft of the vehicle will apply. Proof must be supplied in the form of a certificate from an Approved person/organisation and must be supplied at inception of the policy.

You understand that this contract unless otherwise stated will be subject to English Law. You agree to co-operate with us in supplying information and documentation that we require promptly and within a specified time period ie. within four weeks. Failure to do so may result in cover being withdrawn.

You accept responsibility to ensure that you hold a current cover note or certificate of insurance. By accepting these terms you are giving your consent for us to operate for you in this way.

Renewals

You must immediately notify us of any changes to the information that has been provided to your insurers. Failure to provide accurate and up to date information may invalidate your insurance cover and mean that part or all of a claim may not be paid.

We may automatically renew your insurance policy to ensure continuous insurance remains in force. We will write to you before the renewal date to explain how we will handle your renewal and will include details of the renewal quotation. If you are unsure about any matter, please contact us for guidance.

Complaints Procedure

Our aim is to provide you with a high level of service at all times. However, if something has gone wrong and you wish to make a complaint, please call us on 0845 260 3420, or write to our Customer Relations Department at Premium Choice Ltd, 406 Fort Dunlop, Birmingham, B24 9FD. We expect the majority of complaints will be quickly and satisfactorily resolved at this stage, however if we are unable to do this we will send you a complaint acknowledgement letter. If we are able to provide a final response within five business days of receipt of a complaint we may combine our acknowledgement of the complaint with the final response. A final response is a written response from us which:

• Accepts your complaint and where appropriate offers redress – or
• Offers redress or remedial action without accepting the complaint – or
• Rejects your complaint and gives reasons for doing so

It will also inform you that, if you remain dissatisfied with our response, you may refer your complaint to the Financial Ombudsman Service (FOS) and must do so within six months to be eligible. The FOS can be contacted by telephone on 0300 123 9 123 and further information is available at www.financial-ombudsman.org.uk If you do decide to refer any matter to the Financial Ombudsman Service your legal rights will not be affected.

We will, by the end of eight weeks after receipt of your complaint, send you either:

• A final response or
• A response which explains that we are still not in a position to make a final response , giving reasons for the delay and indicating when we expect to provide a final response. It will also inform you that you may refer your complaint to the FOS.

You may accept our response in writing at any time during this process, even when we have not issued a final response. Our response need not refer to the FOS, but we will explain how your complaint will be progressed if you remain dissatisfied.

Not all complainants may refer complaints to the FOS (for example commercial clients with turnovers in excess of 2million euros and/or with more than 10 employees) but for our part we will treat all complainants equally and fairly. If the matter complained about is the responsibility of another firm (for example the insurer) we will pass details to them in writing within 1 business day and will issue a final response to you advising what we have done.

Data Protection

Any personal data you provide will be held securely and in accordance with the Data Protection Act 1998. The information you have given us will be held and used to manage your insurance policy, which will include both underwriting and claim handling. For this purpose we may disclose it to other interested third parties, for example insurers, other intermediaries, uninsured loss recovery agencies, regulatory authorities for the purposes of monitoring and/or enforcing compliance with any regulatory rules/codes, other third parties involved (directly and indirectly) in your insurance, and agents (including claims handling agencies) who provide services on our behalf.

We may also need to disclose personal data to a third party so that the service you requested can be provided. It may also be necessary to transfer it to countries outside the European Economic Area. Your calls may be monitored and recorded in order that the service may be improved and to help prevent and detect fraud. Documents received by us are filed electronically. We may check information provided or received and we may also undertake credit searches and additional fraud searches. We may also pass information about you to credit reference agencies and premium finance providers in connection with the assessment of your financial standing generally and, in particular, where you have requested a premium instalment plan. This may include details of your payment record with us.

By accepting this policy you consent to our processing personal data including sensitive data about you and other persons who may be insured under the policy. You understand that all personal data you give to us must be accurate and that you have the specific consent of those other persons to disclose their personal data.

Insurers pass information to the Claims and Underwriting Exchange Register (CUE), run by Insurance Database Services Ltd, the Hunter Database, run by MCL Software Ltd., and the Motor Insurance Anti-Fraud and Theft Register (MIAFTR), run by the Association of British Insurers (ABI). We, and your insurer, may search these registers as this helps us to check information provided and to prevent fraudulent claims. We may also undertake credit searches and additional fraud searches. Under the conditions of your policy you must tell us about any incident (such as an accident or theft) which may or may not give rise to a claim. When you tell us about an incident we will pass information relating to it to the registers.

Your policy details will be added to the Motor Insurance Database (MID), run by the Motor Insurers' Information Centre (MIIC). MID data may be used by the Driver and Vehicle Licensing Agency (DVLA) and Driver and Vehicle Licensing Northern Ireland (DVLNI) for the purpose of Electronic Vehicle Licensing and by the Police to help clarify the driver's use of a motor insurance policy and/or for preventing and detecting crime. If you are involved in an accident in the UK or abroad, other UK insurers, the Motor Insurers' Bureau and MIIC may search the MID to obtain relevant policy information. Persons pursuing a claim in respect of a road traffic accident may also obtain relevant information which is held on the MID. You can find out more about this at www.miic.org.uk on the internet. You should show these notes to anyone insured to drive the vehicle covered under this policy.

Your information may also be used for customer services, marketing (including customer profiling), offering renewals, research, statistical purposes and crime prevention. We may share your information with our agents or service providers and with third parties with whom we have a business relationship, for the purposes described above. If you give us information about another person, in doing so you confirm that they have given you permission to provide it to us to be able to process their personal data (including any sensitive personal data) and also that you have told them who we are and what we will use their data for, as set out in this notice.

In the case of personal data, with limited exceptions, you have the right to access and if necessary rectify information held about you by formal written application. You will need to direct your application to our Data Protection Officer at Premium Choice Ltd, 406 Fort Dunlop, Birmingham, B24 9FD enclosing a cheque for £10.00 made payable to 'Premium Choice' in order to cover our administration costs.

Data Validation

We will validate name, address and other personal information supplied by you against appropriate third party databases. To make sure you get the best deal and to ascertain the most appropriate payment options for you and to protect you from fraud, we use public and personal data from a variety of sources, including a credit referencing agency and other organisations. Our search will appear on your credit report whether or not your application proceeds. To ensure our insurers and credit providers have the necessary facts to assess your insurance risk, verify your identity, to help prevent fraud and to provide you with their best premium and payment options, they may obtain information from third parties at quotation and renewal and in certain circumstances where policy amendments are requested. This information includes a Quotation Search from a credit referencing agency. This search will appear on your credit report and will be visible to other credit providers. By agreeing to the terms and conditions you agree to these uses of your information.

Financial Crime

Please be aware that current UK money laundering regulations require us to obtain adequate 'Know Your Client' information about you. We are also required to cross check you against the HM Financial Sanctions List as part of the information gathering process.

We are obliged to report to the Serious Organised Crime Agency any evidence or suspicion of financial crime at the first opportunity and we are prohibited from disclosing any such report.

We will not permit our employees or other persons engaged by them to be either influenced or influence others in respect of undue payments or privileges from or to insurers or clients.

Protecting Your Money

Prior to your premium being forwarded to the insurer, and for your protection, we hold your money as an agent of the insurer, in which case your insurance is treated as being paid for. We may need to transfer your money to another intermediary in some cases. However, your money will be protected at all times because of our requirements under the FCA rules. We also reserve the right to retain interest earned on this account.

Solvency

We do not guarantee the solvency of any insurer we place business with. We do not accept liability for any losses you may incur arising directly or indirectly from the financial failure or insolvency of any insurer.

You may have a liability for the premium, whether in full or pro-rata where a participating insurer becomes insolvent

Compensation Arrangements

We are covered by the Financial Services Compensation Scheme. 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. Most Insurance contracts are covered for 90% of the claim, without any upper limit. Compulsory insurances (for example, motor insurance and employers' liability insurance), are covered for 100% of the claim, without an upper limit. Further information about compensation scheme arrangements is available from the FSCS on 020 7892 7300 or by visiting http://www.fscs.org.uk/

Quotations

Any quotation is only valid for the day on which you supplied information and upon which the quotation has been calculated. Insurer rates may be updated thereafter and therefore the price quoted could change (it may go up or down).

Force Majeure

We shall not be held liable for any breach of our terms of business or any failure to provide, or any delay in providing our services through our website that is a result of any event or circumstance that is beyond our reasonable control. This includes: industrial action or strike of workforce; Landlord disputes; lockouts from trading premises or any other industrial dispute; Breakdown of systems or network access; Fire; Explosion; Flood or Natural disaster; Accident; Insurrection and War. Please note that this list is not exhaustive.

Company Information

Premium Choice Limited, 406 Fort Dunlop, Birmingham, B24 9FD. Premium Choice Limited is authorised and regulated by the Financial Conduct Authority, registration number 312245. Trading as Premium Choice, A Choice, Riders Choice and Roadsure. Registered in England No.3845329. Calls may be recorded for training or monitoring purposes.