The most important document for businesses providing claims management services is the Conduct of Authorised Persons Rules. These Rules are in two parts. The general rules cover –

• Requirements for businesses to certify that they comply with the rules.
• Financial requirements.
• Arrangements in respect of enforcement, discipline and provision of information.
• Arrangements for the provision of information to the Regulator.
• Arrangements for exempt introducers.

 The Client Specific Rules cover -

• Advertising, marketing and soliciting business. (Guidance Note)
• Taking on business.
• Representing a client.

 These rules apply as soon as a business is authorised.

The Complaints Handling Rules 2006 set out the requirements that authorised businesses must meet for dealing with complaints by clients. They require that authorised businesses –

• Have a written policy for handling complaints that meets certain standards.
• Suitably publicise the policy.

If a complainant is dissatisfied with the way that a complaint has been handled then he or she can ask the Regulator to review the handling of the complaint. The Regulator has the power to direct the business to reconsider the complaint and to refund any fees that have been paid, but cannot award compensation.

The Client Account Rules 2006 set out the requirements for maintaining client accounts that must be met by those authorised businesses that handle client money. 

The Department published a consultation on Professional Indemnity insurance on 25 May 2007. The proposed requirement can be found at Annex B of the consultation paper.