INDI 4.1.6 Retail customer-facing function — non-discretionary customer-facing activities

(1) An authorised firm may designate an individual to perform only non-discretionary customer-facing activities.
(2) For this rule, customer-facing activities are either discretionary or non-discretionary. Non-discretionary customer-facing activities are customer-facing activities that meet all of the following requirements:
(a) the activities are in relation only to general insurance contracts or pure protection contracts (or both);
(b) the activities are in relation only to retail customers;
(c) the activities either:
(i) do not require the individual who performs them to exercise discretion or personal judgement; or
(ii) require him or her to do so only in relation to routine activities.
Examples of non-discretionary customer-facing activities
•   using a sales process that involves putting scripted questions to retail customers
•   the use of prepared answers or scripted responses for retail customers by call centre staff
•   routine data collection from retail customers in filling out policy documentation
•   giving routine assistance with claims management to retail customers.
(3) An individual who is designated by an authorised firm under subrule (1) may perform only non-discretionary customer-facing activities for the firm.
(4) An authorised firm may designate an individual under subrule (1) only if the firm:
(a) has systems, controls, policies and procedures to ensure that individuals who are designated to perform non-discretionary customer-facing activities do not perform discretionary customer-facing activities;
(b) has at least 1 individual who performs the customer-facing function who has obtained the CISI Regulatory qualification; and
(c) has systems, controls, policies and procedures to ensure that only an individual who has obtained the CISI Regulatory qualification performs discretionary customer-facing activities.
Examples of discretionary customer-facing activities
•   providing advice to retail customers based on personal judgement or discretion
•   answering technical questions — for example, in relation to an insurance contract's exclusions or terms and conditions
•   undertaking non-routine activities relating to arranging a contract or in support of the performance of a contract.
(5) A person who is designated under subrule (1) and is performing non-discretionary customer-facing activities is performing the customer-facing function, and rule 4.1.1 (2) applies to him or her.
Derived from QFCRA RM/2014-5 (as from 1st January 2015)