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46.—(1) Paragraphs (2) to (4) apply where a pub-owning business intends to charge a tied pub tenant an amount (“the insurance charge”) in respect of premiums for insurance in respect of the premises to which the tenancy or licence relates.
(2) The pub-owning business must inform the tied pub tenant whether—
(a)the insurance charge exceeds the amount payable by the pub-owning business in respect of premiums for insurance in respect of the premises under the insurance policy and, if so, the amount of that excess; and
(b)the pub-owning business, or any group undertaking(1) in relation to the pub-owning business, receives, or expects to receive, any commission or rebate in connection with that policy.
(3) Before the pub-owning business purchases, or renews, an insurance policy in respect of the premises, the pub-owning business must—
(a)provide to the tenant full details of that policy, including the cover which is provided, the charges payable and any contributions towards a claim which the tenant is required to make;
(b)provide to the tenant any additional information required to allow the tenant to compare the policy with other suitable, comparable policies which may be available; and
(c)where the tied pub tenant notifies the pub-owning business that it has identified a suitable and comparable alternative policy (the “tenant’s alternative policy”), consider that policy.
(4) Where the pub-owning business is required to provide information under paragraph (3), the pub-owning business must do so—
(a)at least 21 days before the day on which the policy has effect; or
(b)if earlier, at least 21 days before the day on which the pub-owning business enters into the insurance.
(5) Paragraph (6) applies where the insurance charge is higher than the amount which it would be if the pub-owning business entered into the tenant’s alternative policy (the “alternative insurance charge”).
(6) The pub-owning business must—
(a)purchase the tenant’s alternative policy; or
(b)agree, in writing, that any difference between the insurance charge and the alternative insurance charge is not payable by the tenant.
Commencement Information
I1Reg. 46 in force at 21.7.2016, see reg. 1(b)
Section 72(1) of SBEEA 2015 defines “group undertaking”.
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