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Business insurance selection checklist: verify the FCA Register, compare documents and record decisions
A UK small-business insurance selection checklist to verify the FCA Register, compare policy documents, separate premium, tax and fees, and record the decision.
Use this checklist after mapping the organisation's risks and before accepting a quotation. It is a decision record, not a substitute for regulated advice or the issued policy documents.
What to take away
- Verify the insurer and intermediary on the FCA Register before accepting any quotation.
- Compare contracts by reading the wording, schedule, statement of fact and endorsements together.
- Test price by separating base premium, Insurance Premium Tax, fees and finance costs.
- Record selection reasons, alternatives and open questions, then obtain approval from someone with authority.
- Keep a dated checklist and duplicate it at each material change or renewal.
Describe the insured business
- Record every legal entity, trading name and Companies House number where relevant.
- List all current activities, products, services and customer types in plain language.
- Capture employees, labour-only subcontractors, other contractors and volunteers accurately.
- Identify premises, work sites, home working, vehicles, equipment, stock and custody of property.
- State turnover, payroll and other requested financial measures using the provider's definition.
- Document overseas work, exports, imports, data access and jurisdictions in which claims may arise.
- Add known incidents, losses, complaints and circumstances, not only paid claims.
- Note expected changes during the proposed policy period.
For non-consumer contracts, read the statutory duty of fair presentation and obtain appropriate help where its application is uncertain. Keep the sources and calculations behind every material answer.
Check requirements and route
- Separate legal, regulatory, lease, lender and customer-contract requirements.
- Confirm the insurer, intermediary, appointed representative and other relevant legal entities.
- Verify regulated status and permissions through the FCA Register.
- Record whether the sale is direct, advised, non-advised, panel based or broker-only.
- Ask which market was searched and whether any facility or exclusive arrangement limits choice.
- Obtain the terms of business, fee schedule and remuneration explanation.
Do not assume a comparison service covers the whole market. Do not assume a familiar brand supplies every product directly.
Check requirements and route
- Separate legal, regulatory, lease, lender, customer requirements
- Confirm insurer, intermediary, appointed representative entities
- Verify regulated status via FCA Register
- Record sale type: direct, advised, non-advised, panel, broker-only
- Ask which market was searched and any limits
- Obtain terms of business, fee schedule, remuneration
Compare the proposed contracts
Compare proposed contracts
Document set
- Named insured
- Match submission
- Insuring triggers
- Record each
- Exclusions
- Identify realistic
- Conditions
- Extract duties
- Optional sections
- Confirm included
Key terms
- Named insured
- Check entity
- Insuring triggers
- Note limits
- Exclusions
- Intersect incidents
- Conditions
- Action register
- Optional sections
- Confirm rejected
- Match the named insured, activities, locations and period to the approved submission.
- Read the wording, schedule, statement of fact and every endorsement together.
- Record each insuring trigger, limit, excess, aggregate and shared limit.
- Check territorial, jurisdictional and retroactive provisions where relevant.
- Identify exclusions that intersect with realistic incidents.
- Extract conditions, warranties, safeguards and notification duties into an action register.
- Confirm optional sections deliberately included or rejected.
- Resolve contradictions in writing before purchase.
Test price and service
- Compare annual totals using equivalent cover and disclosure facts.
- Separate base premium, Insurance Premium Tax, fees, add-ons and instalment or finance cost.
- Check cancellation, amendment and renewal charges.
- Locate claim and emergency contacts that remain accessible during disruption.
- Walk through one plausible claim, business change and complaint.
- Confirm document formats, accessibility needs and authorised account users.
- Ask how provider or intermediary outages would be handled.
HMRC's current Insurance Premium Tax guidance distinguishes rates and exemptions by insurance type. Use the live treatment shown on the quotation rather than applying one assumed rate to every section.
Approve and preserve
- Write the selection reason and material trade-offs.
- Record alternatives considered and why they were not chosen.
- List open questions, owners and deadlines.
- Obtain approval from someone with suitable authority and competence.
- Save the quotation, accepted facts, documents, payment evidence and communications.
- Check the issued schedule immediately against the decision.
- Assign owners for conditions and mid-term change reporting.
- Set renewal work early enough to update facts and seek alternatives.
Stop if the organisation cannot describe an activity honestly, reconcile the documents or identify who provides the service. A rushed acceptance can leave a cheap quotation attached to the wrong risk. Selection is complete only when the evidence, responsibilities and continuing controls are clear.
Keep a dated copy of the completed checklist with the insurance record. At each material change and renewal, duplicate it as a new version instead of editing old answers.
Compare the versions, notify the appropriate firm where required and retain its acknowledgement. If a condition needs routine action, move it into the organisation's operating calendar with a named owner and evidence location. The checklist then stays a working control, not a forgotten purchasing form.
Before you act
- Describe every legal entity, activity and financial measure accurately.
- Check regulated status and permissions through the FCA Register.
- Compare contracts using equivalent cover and disclosure facts.
- Separate base premium, Insurance Premium Tax, fees and finance costs.
- Save quotation, accepted facts, documents and payment evidence.
- Assign owners for conditions and mid-term change reporting.
Common questions
How can I check that an insurer or intermediary is properly regulated?
Use the FCA Register to verify regulated status and permissions. Record whether the sale is direct, advised, non-advised, panel based or broker-only. Ask which market was searched and whether any facility or exclusive arrangement limits choice. Obtain the terms of business, fee schedule and remuneration explanation.
What should I compare when looking at different insurance contracts?
Match the named insured, activities, locations and period to the approved submission. Read the wording, schedule, statement of fact and every endorsement together. Record each insuring trigger, limit, excess, aggregate and shared limit. Identify exclusions that intersect with realistic incidents and resolve contradictions in writing before purchase.
How do I test the price and service of a quotation?
Compare annual totals using equivalent cover and disclosure facts. Separate base premium, Insurance Premium Tax, fees, add-ons and instalment or finance cost. Check cancellation, amendment and renewal charges. Locate claim and emergency contacts that remain accessible during disruption. Walk through one plausible claim, business change and complaint.
