Pursuant to provision 4.58A of the Central Bank of Ireland’s September 2019 Addendum to the Consumer Protection Code, all Brokers, must make available in their public offices, or on their website if they have one, a summary of the details of all arrangements for any fee, commission, other reward or remuneration provided to the Broker which it has agreed with its product producers.

WHAT IS REMUNERATION?

Remuneration is the payment earned by the intermediary for work undertaken on behalf of both the provider and the consumer. The amount of remuneration is generally directly related to the value of the products sold.

WHAT IS COMMISSION?

Commission is payment that may be earned by an intermediary for work undertaken for both provider and consumer. There are different types of remuneration and commission models:

Single Commission model: Single Commission is where payment is made to the intermediary shortly after the sale is completed and is based on a percentage of the premium paid/amount invested.

Trail/Renewal commission model: Trail / Renewal are further payments at intervals are paid throughout the life span of the product.

Indemnity commission: Indemnity commission is the term used to describe a commission payment made before the commission is deemed to be ‘earned’. Indemnity commission may be subject to a clawback (see below) if the consumer lapses or cancels the product before the commission is deemed to be earned.

Other forms of indemnity commission are advances of commission for future sales granted to intermediaries in order to assist with set up costs or business development.

LIFE ASSURANCE/INVESTMENTS/PENSION PRODUCTS

For Life Assurance products commission is divided into initial commission and renewal commission (related to premium), fund based or trail relating to accumulated fund.

Trail commission, bullet commission, fund based or renewal commission are all terms used for ongoing payments. Where an investment fund is being built up though an insurance – based investment product or a pension product, the increments may be based on a percentage of the value of the fund or the annual premium. For a single premium/lump sum product, the increment is generally based on the value of the fund.

Life Assurance products fall into either individual or group protection policies and Investment/Pension products would be either single or regular contribution policies. Examples of products include Life Protection, Regular Premium Life Assurance Investments, Single Premium (lump sum) Insurance – based Investments, and Single Premium Pensions.

INVESTMENTS

Investment firms, which fall within the scope of the European Communities (Markets in Financial Instruments) Regulations 2007 (the MiFID Regulations), offer both standard commission and commission models involving initial and trail commission.

Increments may be based on a percentage of the investment management fees, or on the value of the fund.

CLAWBACK

Clawback is an obligation on the intermediary to repay unearned commission. Commission can be paid directly after a contract is concluded but is not deemed to be ‘earned’ until after a specified period of time. If the consumer cancels or withdraws from the financial product within the specified time, the intermediary must return commission to the product producer.

 LIFE AND PENSION PRODUCTS:

Acorn Life: Click Here

FEES

The firm may also be remunerated by fee by the product producer such as policy fee, admin fee, or in the case of investment firms, advisory fees. Include arrangements etc.

DLON Financial Services Ltd charge a fee of €250 once off Mortgage application fee.

This fee is payable before an application submitted to the lender. This application fee is paid directly to DLON Financial Services Ltd by the customer ,
DLON Financial Services Ltd will issue a receipt to the customer once payment is received

DLON Financial Services Ltd may receive up to 1% (or whatever maximum is applicable) of the loan for arranging mortgage finance. This commission is paid by the mortgage lender.

RETAIL CREDIT INTERMEDIARIES

• Acorn Mortgages: Click Here
• Bank of Ireland: Click Here
• Haven Mortgages: Click Here
• ICS Mortgages: Click Here
• Permanent TSB: Click Here
• Ulster Bank: Click Here

Summary of Fees, Commissions and Rewards 

This Statement sets out how your Financial Advisor is remunerated including the basis on which commission is paid and details on the types of commission arrangements including any other additional rewards or benefits.  

This information is provided to you in accordance with our requirements under the Consumer Protection Code 2012 (as amended). 

Your Financial Advisor is remunerated for the provision of products, ongoing advice and servicing on a commission basis and this commission is allowed for within the insurance premium we quote for your policy.    

Protection 

The rate  of commission will vary depending on the age of the client.  The rate of commission remains consistent for clients up to and including 54 years of age.  After this, the rate of commission will reduce by a set percentage per year of age attained after this, subject to a minimum rate.  

Product	Rate of Initial Commission*	Consistent to Age	Reduction in Rate of Commission   (per Year after this)	Minimum  Rate of Commission
Flexible Life Protection Plan	65% – 130%	up to 54yrs	2.17% – 4.34%	32.5% – 65%
Additional Single Premiums to  Life Protection Plans	2% – 4%	n/a	n/a	n/a

*The % rate is applied to the annualised premium.  

Commission is paid to your Financial Advisor on the assumption that payments to the policy continue for a 

specified number of years/months.  Where premiums are discontinued before the end of the specified period a 

percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the type of product 

and the time since policy commencement. 

Personal Pension

The rate  of commission will vary depending on the age of the client.  The rate of commission remains consistent for clients up to and including 45 years of age.  After this, the rate of commission will reduce by a set percentage per year of age attained after this, subject to a minimum rate. 

Product	Rate of Initial Commission*	Consistent to Age	Reduction in Rate of Commission   (per Year after this)	Minimum  Rate of Commission
Personal Pension Plans	30% – 60%	up to 45yrs	1.5% – 3%	10.5% – 21%
Additional Single Premiums to  regular premium Pensions Plans	2% – 4%	n/a	n/a	n/a

*The % rate is applied to the annualised premium.  

Commission is paid to your Financial Advisor on the assumption that payments to the policy continue for a 

specified number of years/months.  Where premiums are discontinued before the end of the specified period a 

percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the type of product and the time since policy commencement. 

Executive Pension

The rate  of commission will vary depending on the age of the client.  The rate of commission remains consistent for clients up to and including 45 years of age for Executive Pension Plans.  After this, the rate of commission will reduce by a set rate per year of age attained after this, subject to a minimum rate. 

Product	Rate of Initial Commission*	Consistent to Age	Reduction in Rate of Commission   (per Year after this)	Minimum  Rate of Commission
Executive Pension Plans	30% – 60%	up to 45yrs	1.5% – 3%	10.5% – 21%
Additional Single Premiums to  Executive Pension Plans	2% – 4%	n/a	n/a	n/a

*The % rate is applied to the annualised premium.  

Commission is paid to your Financial Advisor on the assumption that payments to the policy continue for a 

specified number of years/months.  Where premiums are discontinued before the end of the specified period a 

percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the type of product 

and the time since policy commencement. 

DTA
Product	Rate of Initial Commission*
Decreasing Term Assurance Plan	50% – 100%

*The % rate is applied to the annualised premium. 

Commission is paid to your Financial Advisor on the assumption that payments to the policy continue for a 

specified number of years/months.  Where premiums are discontinued before the end of the specified period a 

percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the type of product 

and the time since policy commencement. 

Savings
Product	Rate of Initial Commission*
Flexible Life Savings Plan	10% – 20%
Additional Single Premiums to  Life Savings Plans	2% – 4%

*The % rate is applied to the annualised premium. 

Commission is paid to your Financial Advisor on the assumption that payments to the policy continue for a specified number of years/months.  Where premiums are discontinued before the end of the specified period a 

percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the type of product and the time since policy commencement. 

AMRFs and ARFs
Product	Annual Rate of Commission*
Approved Retirement FunMinimum Retirement Fun	ds (ARF’s) & Approved ds (AMRFs)	1.5% – 4%

*The % rate is applied to the investment amount. 

PRB
Product	Annual Rate of Commission*
Initial & Additional Single Premiums to Pension Retirement Bonds	2.2% – 4.4%

*The % rate is applied to the investment amount. 

Investment Bond
Product	Annual Rate of Commission*
Initial & Additional Single Premiums to Investment Bonds	2.2% – 4.4%

*This % rate is applied to the investment amount. 

Pension Bond
Product	Annual Rate of Commission*
Initial and Additional Single Premiums to Pension Bonds	2.2% – 4.4%

*The % rate is applied to the investment amount.  

Protection, Personal Pension, Executive Pension & Savings

Remuneration for Ongoing Services 

Your Financial Advisor may have entitlement to some of the following remuneration when a product is sold: 

Type of Commission	Description	Rate of Commission
Servicing Commission	This is remuneration that is payable from year two on regular premium plans.    Acorn Life have set minimum payment standards in place that must be adhered to in order to qualify for this entitlement.  Servicing commission is payable provided the plan is  active and premiums are paid to date.	Your Financial Advisor can earn between 1.875% – 5% of the prior year’s premium.  The rate allocated depends on the type of product and the tenure of the Advisor.  This commission is paid on the assumption that payments to the policy will continue for a specified time.  Where premiums are discontinued before this a percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the product and the time since policy commencement.
AutoIncremental Commission	This is where the premium & benefits increase automatically at a rate of 5% per annum.    The amount of each annualised premium increment will give rise to additional commission entitlement.	The commission rate earned depends on the product type and is equivalent to the  minimum % rate of the initial commission (as illustrated in the table above).  This commission is paid on the assumption that payments to the policy will continue for a specified time.  Where premiums are discontinued before this a percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the product and the time since policy commencement.
Premium Increase Commission	This is where the client makes an voluntary premium increase.  The amount of the premium increase will give rise to additional commission entitlement.	The commission rate earned on voluntary premium increases is as per the rate of the initial commission relating to the product type (as illustrated on the table above).   This commission is paid on the assumption that payments to the policy will continue for a specified time.  Where premiums are discontinued before this a percentage of the commission is reclaimed by Acorn Life.  The portion reclaimed depends on the product and the time since policy commencement.

PRB, AMRF/ARF, Investment Bond, Pension Bond

Remuneration for Ongoing Services 

Your Financial Advisor may have entitlement to the following remuneration: 

Type of Commission	Description	Rate of Commission
Additional Single Premium Commission	This is where the client makes a voluntary additional single premium.  The amount of the additional single premium will give rise to additional commission entitlement.	The commission rate earned on voluntary additional single premiums is as per the rate of the initial commission relating to the product type (as illustrated on the table above).

Insert the following text for all Products Types

Other Rewards & Benefits 

Your Financial Advisor may receive allowances towards professional training, professional education and continuous professional development.  Where this is allocated, Acorn Life will ensure that participation in any such training or development will enhance the quality of the service to the advisor’s clients. 

Acorn Life DAC provides support services to Advisors carrying out insurance and related services, in the form of management and administrative support, provision of premises, advertising and other services. 

Important: The Important Information section of the Acorn Life Information Pack and Important Notice section in your Policy Documents sets out information on sales remuneration figures.  These figures include the cost of management and administrative support, and other services provided to your Financial Advisor by Acorn Life and are based on the requirements of the Life Assurance (Provision of Information) Regulations, 2001 (as amended).