What does a broker have to consider when switching to fee-based advice?

From the series of newsletters of the DHBW (Baden-Wuerttemberg Cooperative State University) Heidenheim on the topic “Mediation Law in Practice”:

At this point, lawyer Dr. Johannes Fiala, https://www.fiala.de, lecturer for insurance law at the DHBW Heidenheim, will answer your questions. Questions can be asked by emailing ott@dhbw-heidenheim.de.


Since 2008, the legislator has defined in the new VVG (§ 59) the job descriptions of insurance representative (agent), insurance broker
and insurance advisors are clearly regulated:

Only insurance consultants may professionally assist third parties in the agreement, amendment or review of insurance contracts.
or in the assertion of claims arising from insurance contracts, or in extrajudicial dealings with the insurer.
represent without receiving any economic benefit from an insurer (brokers and agents) or in other
way to be dependent on him (representative). So brokers and agents are not allowed to do that,
without violating their registration status.

However, for insurance agents and brokers, activities of another trade, e.g. as a business consultant
(e.g. on personnel policy) or as a secretarial service are permitted. Also, there are probably “for old hands” with brokers.
also exceptions, which you have to fight through in court if necessary.

Remains for the broker the option of the § 34d GewO:

“The license granted to an insurance broker includes the authority to sell to third parties who are not consumers
are, in the agreement, amendment or review of insurance contracts for a separate fee
legal advice.”

i.e. fee-based consulting in the commercial sector.

In any case, the problem with a consultation for a fee is that it is a contingency fee and
not a time allowance. This then regularly requires a so-called individual agreement.
in the legal sense with the customer, because otherwise the remuneration would not be enforceable at all.

A first “cross-check” on the question of what one is allowed to do in one’s own business field is offered by a look at the VSH terms and conditions:
In case of doubt, the scope of cover (depending on the activities) should be (additionally) confirmed by the insurer.

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About the author

Dr. Johannes Fiala Dr. Johannes Fiala

Dr. Johannes Fiala has been working for more than 25 years as a lawyer and attorney with his own law firm in Munich. He is intensively involved in real estate, financial law, tax and insurance law. The numerous stages of his professional career enable him to provide his clients with comprehensive advice and to act as a lawyer in the event of disputes.
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