Home Insurance for Zurich Private Clients - Target Market Statement

What is this product?

Zurich Private Clients Home product is designed to provide customers with comprehensive financial protection for the buildings and contents of their home, as well as personal possessions, valuables, fine art and antiques. It is specifically designed to meet the needs of high-net-worth (HNW) customers whose insurance needs are not catered for by mass market home insurance products.

What customer need is met by this product?

This product covers the need for financial protection for the buildings and contents of their home, as well as personal possessions, valuables, fine art and antiques
This product includes a travel element for all residents of the property; the cover allows customers to travel worldwide up to the age of 75 and within Europe up to the age of 80

Who is the product designed for?

Private individuals who want comprehensive financial protection for the buildings and contents of their home, as well as personal possessions, valuables, fine art and antiques.

Who is the product not designed to support, or are there any features you should be aware of when offering this product to your customers?

This product is not suitable for:

Customers who do not reside in the United Kingdom of Great Britain and Northern Ireland, the Isle of Man, or the Channel Islands and are looking to insure properties outside of the UK, France, Ireland, Portugal, Italy, and Spain
Customers subject to any economic, financial, or trade sanctions imposed by the European Union, United Kingdom, or any other prohibition or restriction imposed by law or regulation of the country of which the policy is issued or would otherwise provide cover
Customers who have an existing policy in place providing the same coverage and whereby purchase of this product would give dual cover

Can this product be sold with or without advice?

This product can only be sold with advice, in line with FCA regulations
This product is supported by a policy summary

How can this product be sold?

This product can be distributed by authorised brokers who trade with us.

Are there any eligibility criteria, conditions or exclusions that may impact the outcomes that customers may reasonably expect?

The distributor must always consider whether they have the correct product to meet the customer’s needs. This product does not meet the needs of:

Private individuals with lower levels of wealth in property and possessions
Private individuals whose primary residence is outside of the United Kingdom
Private individuals who are looking to insure property outside of the UK, France, Ireland, Portugal, Italy and Spain
Private individuals who are over the age of 75 looking to use the travel cover outside of Europe
Private individuals who are not 18 or over
Private individuals who don’t ensure that their property is in a good state of repair
Private individuals who require short term non-renewable cover
Private individuals who have unspent criminal convictions or any pending prosecutions
Private individuals who have had insurance refused, cancelled, or offered with terms imposed

Eligibility and risk acceptance criteria will restrict access for certain risks which may be suitable for this product but are outside of Zurich’s current strategy and / or risk appetite.

How is the value of the product assessed?

We assess product value using quantitative and qualitative information, including data from our distributors relating to service and remuneration, as appropriate
This product has been approved in line with Zurich’s product governance processes, including consideration of the value of the product. This includes:

Cover – whether the level of benefits and relevant exclusions offers value to the customer
Utility – whether the product is being used by the customers of the intended target market
Zurich service – whether the type and quality of services being provided is reasonable and fair to the customer

The outcome of the Fair Value Assessment confirms that this product is considered to provide fair value to customers for a foreseeable period of time. The Fair Value Assessment is valid until 31/08/2026

What are the obligations of our distributors?

Manufacturer notification – all intermediaries must review their product distribution at least every 12 months and consider the impact of remuneration against the intended value of their products. Distributors must notify the manufacturer as soon as practically possible if there are any value concerns for which remedial action is required
Remuneration – distributors must ensure that any remuneration received for an insurance product does not result in the product ceasing to provide fair value to the customer
Provision of information - if so requested, distributors must provide the manufacturer with: (i) information on the distributor’s remuneration in connection with distribution of the insurance product; (ii) information on ancillary products or services that may impact the intended value of the manufacturer’s primary insurance product; and (iii) confirmation that the distribution arrangements are consistent with the obligations of the firm under the FCA Handbook including SYSC 10 (conflicts of interest) and SYSC 19F.2 (IDD remuneration)
Price optimisation - if the distributor is a price-setting intermediary, unless there is a reasonable basis, firms should not increase the price of the insurance product based on: (i) policies being subject to auto renewal compared to policies that are not subject to auto renewal; (ii) the customer’s vulnerability or any protected characteristics (unless the firm can rely on them under the Equality Act 2010); and (iii) where customers purchase the policy using retail premium finance