McHugh O'Leary Insurance Brokers Ltd t/a McHugh O'Leary Insurances

1 PO BOX 9138 T +353 1 224 4000 College Green F +353 1 224 6022 Dublin 2 Settlement Agreement between the Financial Regulator and McHugh O’Leary Insurance Brokers Ltd t/a McHugh O’Leary Insurances The Financial Regulator has entered into a Settlement Agreement with effect from 18 December 2009 with McHugh O’Leary Insurance Brokers Ltd t/a McHugh O’Leary Insurances (the ‘firm’) of 15 Dublin Street, Carlow, Co. Carlow, a regulated financial service provider, in relation to breaches of regulatory requirements. The Financial Regulator has reasonable cause to suspect that breaches of regulatory requirements occurred in relation to the failure of the firm to comply with certain provisions of the Consumer Protection Code (the Code) and the Handbook for Restricted Activity Investment Product Intermediaries (the Handbook). These related in particular to the sale of commercial lines insurance. The Financial Regulator has reprimanded the firm and required it to pay a fine of €18,000. These suspected breaches were discovered during the course of the Financial Regulator’s Themed Inspections into ‘Charges and Premium Rebates in the Insurance Intermediary Sector’ and relate, inter alia, to a failure by the firm to act in the best interests of its customers during the period 1 August 2004 to 30 June 2007 by applying (a) broker fees and (b) administration charges in respect of rebates which were in excess of the maximum fees advised in the firm’s terms of business document resulting in certain customers being overcharged.