Penguin Insurance Services Limited

Terms of Business Agreement - February 2024

These terms of business outline our service and how we will administer your policy. Please read it carefully and retain a copy for your records. If any information in our Terms of Business, or our products and services is unclear, or if you have any questions, please do not hesitate to contact us, we will be more than happy to help.

The English language will be used for all communications, the contractual terms and conditions, and any information we are required to supply to you, before and during the duration of the contract and this agreement shall be subject to English Law.

About Us

Penguin Insurance Services Limited (PISL) is authorised and regulated by the FCA. Our FCA Register number is 546067. We are permitted to arrange, advise on, deal as an agent of insurers and clients and assist in claims handling with respect to non-investment insurance policies. You can check these details on the FCA Register by visiting the FCA website or by contacting the FCA on 0800 111 6768. We are also authorised by the FCA for consumer credit broking. We act for a number of lenders.

Our Service

We are an independent insurance intermediary, who acts on our customers' behalf in arranging insurance and make a personal recommendation based on a fair analysis of the market. However, under certain circumstances we may only deal with a limited panel, or single insurer and we will notify you of the insurers considered when this applies. As insurance brokers we generally act as your agent in advising you, arranging your insurance and assisting you in the event of a claim; we will always act honestly, fairly and professionally ensuring your best interests are our priority. In certain circumstances we may act for and owe duties of care to insurers and/or other parties. Where we become aware of any actual or potential conflict of interest with our duty to you, we will inform you of the situation, the options available to you and obtain your consent before we proceed.

Our Service in relation to the provision of Premium Finance

We are a credit broker, not a lender. We may use insurance and finance providers who will conduct a credit check and share your payment record with other lenders, all of which will be recorded on your credit record. Please contact us if you do NOT consent to a credit check being undertaken, however this may affect the rate of interest and/or our ability to offer instalment facilities to you. As We do not offer you any advice on premium finance, it is your responsibility to decide the suitability of any credit agreement offered. Please Note: Your policy cover will cease if you fail to keep up payments on an instalment agreement or premium finance facility related to it and your credit rating may be affected. In entering into a credit agreement to pay your insurance premium, you give the finance provider the legal right to cancel your insurance policy on your behalf in the event that you default on the loan, and offset any refunded premium against the outstanding amount owed to them. This means that if you default on your payment terms and the finance provider requests that we cancel your policy, we will do so as their agent.

When you pay by instalments, under a Consumer Credit Agreement, the annual premium is paid in full to the insurer on your behalf. This means that once the insurer has been paid, you are liable for the full premium. Should the policy be cancelled mid-term for any reason, any return of premium given by the insurer will be deducted from the amount you owe. Due to fees and the interest charges applied under the agreement, there may be balance owing from you after the insurer’s return of premium.

Data Protection and Privacy Statement

We will act as a Data Controller in respect of any information you provide to us with regard the provision of an insurance quotation and/or policy. All personal information about you will be treated as private and confidential (even when you are no longer a customer), except where the disclosure is made at your request or with your consent in relation to administering your insurance or where we are required by law. Some or all the information you supply to us in connection with your insurance proposal may be passed to other reputable companies, (which may be outside of the UK and EU), necessary for the provision of a quotation or cover. We and these organisations, may use publicly available data from a variety of sources such as credit reference agenciesand anti-fraud agencies such as the Claims and Underwriting Exchange (CUE) when processing your information. Each of these searches may appear on your credit report, whether or not your application proceeds. Your data will be held in accordance with the current Data Protection legislation and the General Data Protection Requirements (GDPR). Full details on how we process your data is available in our Privacy Notice, a copy of which is available on request. If you have any queries, please write to the Proprietor at the above address.

Your duty of disclosure

Commercial Customers:Where we arrange insurance wholly or mainly for purposes related to your trade, business or profession, you have a duty under The Insurance Act 2015 to make a fair representation of the risk. You must disclose every material circumstance which you and/or your senior management and/or anyone responsible for arranging your insurance know or ought to know. Alternatively, you must disclose sufficient information which would put the insurer on notice that it needs to make further enquiries for the purpose of revealing those material circumstances. You are expected to carry out a reasonable search in order to make a fair representation of the risk and will be deemed to know what should reasonably have been revealed by the search. Your duty of fair representation applies at the start of the policy, at renewal and when any variation of the policy is arranged. If you fail to make a fair representation, the insurer may refuse to pay your claim or reduce the settlement amount, depending on the circumstances.

Retail Consumers: You must take reasonable care not to make a misrepresentation to the insurer. This means that all the answers you give and statements you make as part of your insurance application, including at renewal and when an amendment to your policy is required, should be honest and accurate. If you deliberately or carelessly misinform the insurers, this could mean that part or all of a claim may not be paid.

Our Fees and Charges for the services We provide to You

We make the following charges to cover the administration of your insurance:

Arranging new policies - £35.00
Mid-term adjustments - £35.00
Renewals - £35.00

Mid-term cancellations and other refunds are paid NET of commission and in addition we charge an administration fee of £35.00

Our earnings

When we sell you a policy, or arrange premium finance, we receive a percentage commission from the insurer and the premium finance provider, based on the total premium. Occasionally, we may also receive a bonus from an insurer, although, this is not guaranteed. You are entitled at any time to request information regarding any commissions we may have received as a result of placing your insurance business or arranging premium finance.

Protecting your money

Prior to your premium being forwarded to the insurer, and for your protection, we either hold your money as an agent of the insurer (in which case your policy is treated as being paid for), or we hold it in a client bank account on trust for you. We may transfer your money to another intermediary in some cases. However your money will be protected at all times because of the requirements of FCA rules. We also reserve the right to retain interest earned on this account.

Policy terms, conditions and warranties

Please read through all policy terms, conditions and warranties shown on your policy documents. Please ensure you understand them and are able to follow their requirements exactly. If not, please advise us immediately, as a breach of any terms, conditions or warranties may enable your insurer to terminate your policy from the date of that breach, and/or repudiate a claim under your policy. Our Terms of Business apply in addition to the insurer's policy terms, conditions, restrictions, exclusions and excesses.


All incidents which could lead to a claim must be reported as soon as practicable. Please notify Penguin Insurance in the first instance, however, you will need to contact your insurer to report the claim in full. Your insurer's claims contact number is shown in your policy.

How to cancel

Retail Consumers: You may have a statutory right to cancel this policy within a short period. Please refer to your policy summary or your policy document for further details. If you cancel within the statutory period (where it applies) you will receive a pro rata refund of premium from the insurer. Insurers are also entitled to make an administrative charge and we may keep an amount that reflects the administrative costs of arranging and cancelling the policy. If you wish to cancel outside this period you may not receive a pro-rata refund of premium. We may also keep an amount that reflects the administrative costs of arranging and cancelling the policy (see tariff of charges) and retain commission earned in respect of arranging your policy.

Commercial Customers: This policy can be cancelled at any time by either party in writing by giving 7 days notice. If you wish to give notice of cancellation, please write to us at the above address. If we wish to cancel this policy we shall write to you at the last known address we have for you on our records. We will retain in full any commission we have been paid by the insurer and/or any fees we have charged.

For all types of policy, no return of premium will be due in the event that a claim, loss or accident has occurred within the period of insurance.


It is our intention to provide a high level of service at all times. However, if you have reason to make a complaint about our service you should contact Mr. Martin Lees (Managing Director) at Penguin Insurance Services Limited, Pixmore Centre, Pixmore Avenue, Letchworth, Herts. SG6 1JG Tel: 01462 658777 or email: You may be entitled to refer the matter subsequently to the Financial Ombudsman Service. You can contact the Financial Ombudsman Service on 0800 0 234 567. Further information is available at If you decide to refer any matter to the Financial Ombudsman Service your legal rights will not be affected.

Compensation arrangements

We are covered by the Financial Services Compensation Scheme. You may be entitled to compensation from the scheme if we cannot meet our obligations. This depends on the type of business and the circumstances of the claim. Insurance advising and arranging is covered for 90% of the claim, without any upper limit. For compulsory classes of insurance, insurance advising and arranging is covered for 100% of the claim, also without any upper limit. The scheme does not apply to Consumer Credit. Further information about compensation scheme arrangements is available from the FSCS on 020 7892 7300 or by visiting