The Insurance Agent Agreement is a critical document used to formalize the relationship between insurance companies and their appointed agents in Australia. It is essential for insurance companies expanding their distribution networks and agents seeking to represent insurers in the Australian market. The agreement must comply with strict regulatory requirements, including ASIC licensing conditions, the Insurance Contracts Act 1984, and the Corporations Act 2001. It details the agent's authority to sell insurance products, commission structures, compliance obligations, and operational requirements. This document is particularly important given Australia's complex financial services regulatory landscape and the increased scrutiny on insurance distribution practices following the Banking Royal Commission recommendations.

1. Parties: Identifies the insurance company and the agent/agency, including full legal names and ACN/ABN

2. Background: Explains the context of the agreement, including the insurer's authority to conduct insurance business and the agent's qualifications

3. Definitions: Defines key terms used throughout the agreement, including specific insurance industry terminology

4. Appointment and Scope: Details of the agent's appointment, territory, and authorized insurance products

5. Regulatory Compliance: Obligations regarding licensing, authorizations, and compliance with insurance laws

6. Agent's Obligations: Core responsibilities including sales, customer service, record-keeping, and reporting

7. Insurer's Obligations: Support, training, and materials to be provided by the insurer

8. Commission Structure: Commission rates, calculation methods, and payment terms

9. Compliance with Laws: Specific obligations under insurance regulations, privacy laws, and AML/CTF requirements

10. Professional Indemnity Insurance: Requirements for maintaining professional indemnity coverage

11. Confidentiality: Protection of confidential information and customer data

12. Intellectual Property: Usage rights for insurer's brands, materials, and systems

13. Termination: Grounds and procedures for termination of the agreement

14. Post-Termination Obligations: Responsibilities and restrictions after agreement ends

15. General Provisions: Standard clauses including notices, amendments, governing law, and dispute resolution