How does the delegated authority scheme work?
The Coverholder Agreement is a contract between Temple and the firm (the firm becomes the “Coverholder”) and gives the Coverholder delegated authority to offer the insurance that Temple provides to clients, quote premiums and issue insurance policies without referral back to Temple. Any interested clients should complete the Proposal and Referral Form. When this form is handed back to the Coverholder, the Coverholder checks through it to see if there are any “referral points” on it, which means that Temple needs to see the form before a quote can be issued to the client (referral points are noted on page 2 of the Coverholder Agreement). If there are no referral points, the Coverholder can quote the insurance premium for the interested client using the rating table on page 3 of the Coverholder Agreement.
