The National Insurance Brokers Association (NIBA) Code of Practice update is set to include changes to provide clear disclosure around remuneration and greater clarity around services provided.

Legal adviser Mark Radford says conflicts of interest requirements are being refined in a proposed draft, and will provide better guidance on what’s expected, while the revised version will address how brokers describe who they are acting for an in relation to what services.

“We all know brokers can act in a number of capabilities, so it’s crucial that we’re clear to customers about that,” he told a code update session at the NIBA virtual convention last week.

Mr Radford says the update will aim to improve clarity around the type of advice given, and whether its personal versus a general or no advice service.

The revised code will also include a new section addressing the needs of vulnerable clients, along with a number of new complaints and disputes processes.

Mr Radford says proposed changes reflect issues highlighted across financial services in the Hayne royal commission.

“While brokers performed well in the royal commission generally, and weren’t a specific target, it would be crazy to not take the lessons and issues into account in any code review,” he said.

NIBA is updating the current code, which dates back to 2014, after delays in the scheduled three-year review timetable. The Hayne royal commission contributed to the longer timeframe, while the association says it also waited for the revised Insurance Council of Australia code to be released.