Apply to become a claims management company

Find out how to apply to us for authorisation if you’re a claims management company (CMC) or you provide claims management activities such as advising, investigating and managing complaints on behalf of consumers.

Read everything listed below

Start with our main 'how to apply' page for all applicants

Prepare your application

Include your business plan and other supporting material

Pay the application fee

You must pay this in order to apply

Submit your application

You'll do this on our Connect system, so please register first

You'll need to demonstrate that you can consistently deliver good outcomes for retail consumers.

What to read first

The application process

Our how to apply[1] page explains:

our expectations of all firms
the application process
how to avoid delays with your application

You must read this page in full before submitting your application through our Connect[2] system.

Our letters to your sector

Please refer to the portfolio letters we sent to authorised CMCs in 2023[3] and in 2020[4] to understand our view of the key risks of harm that CMCs pose to their customers, and how to mitigate these risks.

You'll need to explain how you can and will continue to meet all rules and adhere to the relevant guidance.

Our Handbook

Read the claims management section[5] of our Handbook of rules and guidance.

You'll need to explain how you can and will continue to meet all rules and adhere to the relevant guidance.

Supporting material

Along with your application form, you'll need to provide a range of supporting documentation including your:

regulatory business plan
financial forecasts
required policies, procedures and other relevant forms on Connect

Check what supporting material[6] you need to include.

Our how to apply[1] page explains:

our expectations of all firms
the application process
how to avoid delays with your application

You must read this page in full before submitting your application through our Connect[2] system.

You'll need to explain how you can and will continue to meet all rules and adhere to the relevant guidance.

Read the claims management section[5] of our Handbook of rules and guidance.

You'll need to explain how you can and will continue to meet all rules and adhere to the relevant guidance.

Along with your application form, you'll need to provide a range of supporting documentation including your:

regulatory business plan
financial forecasts
required policies, procedures and other relevant forms on Connect

Check what supporting material[6] you need to include.

Prepare your application

You'll submit your application through Connect[8], so make sure you register[6].

Your application must include your:

application form
regulatory business plan (RBP)
financial forecasts – learn how to prepare your firm's financial information[7]
other relevant forms and supporting material[12]

Below are the specific things we expect to see in your application – providing this information will help you to demonstrate that you can meet our expectations.

We know we're asking for lots of information, but if you submit everything required in sufficient detail it'll help us assess and determine your application without delays.

In your regulatory business plan (RBP)

Explain where your firm will fit within the market and how your products and services compare to competitors.

This should include:

an overview of the activity (regulated and unregulated) your firm will carry out, including the types of claim you intend to handle
how you'll source potential claims/generate leads
an end-to-end customer journey covering the process and lifecycle of the lead generation and claims processing activity
what agreements are in place to support the referral/recommendation of potential claims
any applicable supporting legislation you'll need to comply with, for example:
- GDPR (General Data Protection Regulations)
- DPA (Data Protection Act)
- PECR (the Privacy and Communication (EC Directive) Regulations)
- the cold calling ban
- the Legal Aid Sentencing and Punishment of Offenders Act 2012 (LASPO)
- the referral fee ban
an overview of the systems and controls in place to ensure that claims are of a high quality, and that the full merits of a case are known
how you'll reduce the likelihood that consumers make spurious claims
how you'll comply with all direct marketing legislation and the consent/opt in-out requirements
why you're satisfied that your fees and charges represent fair value
copies of your financial promotions and website content, even where it's in draft, and including both regulated and unregulated content
a clear explanation of how you'll ensure consumers know the difference between any regulated and unregulated activity you carry out and what this means for them
copies of any letters or templates you'll send to consumers
your communication strategies including the type and frequency of communications you'll send
any fact find surveys or scripts you plan to use
how many employees your firm will have completing claims management activity, as well as your organisation’s structure and job role responsibilities

In your supporting material

You need to make your capital structure clear, ensuring that your funding arrangements are confirmed and evidenced.

If you plan to hold and control client money alongside any claims management permission, please provide/explain:

your client money policy and procedures that demonstrate your compliance with all CASS13 requirements, including but not limited to:
- confirmation of who will oversee and enforce all our client asset requirements at your firm
- what training and experience this individual has to carry out this function on behalf of the firm
- what arrangements the firm has made for reconciliation to continue when this individual is absent
- a copy of the client bank account acknowledgement letter signed by a qualified representative of the bank and the firm

For advice, investigation and representation permission applications:

how you've calculated your prudential resource requirement where applying for any advice, investigation and representation permission, with evidence that you meet this requirement in line with CMCOB 7.3[7] in our Handbook
- we know this is a long chapter but we urge you to read it all in preparation for providing your prudential calculations
your pre-contract information and customer contract, including terms and conditions (if there's a separate terms document)
a letter of authority template for each product

Professional indemnity insurance

If you plan to hold advice, investigation and representation permissions in respect of a personal injury claim you must also:

provide proof of your Professional Indemnity Insurance (PII)
ensure your PII meets the requirements of CMCOB 7.4[8] in our Handbook

You must answer all questions on the application honestly, including on Form As, and provide us with full information regarding any disclosures you make.

If in doubt, let us know as much as possible, even if it may not seem relevant.

If you don't disclose something, we take this very seriously and may consider it to be evidence of dishonesty and/or lack of integrity.

Application fee

You have to pay a fee to submit your application. The fee is non-refundable.

If you're applying for:

only the permission of seeking out persons who may have a claim, your fee falls into pricing category 4
any other claims management activities, your fee falls into pricing category 6

Find out more about our authorisation fees[9], including our pricing categories and how to pay.

Final check and submit

Before you submit everything on Connect, give it one more check to be sure you've included everything.

Our how to apply[10] page has 3 top tips to ensure your application goes smoothly, and explains what happens after you've submitted it.

If you need more help

Please contact us on 0300 500 0597. We're open Monday, Tuesday, Wednesday and Friday 9am to 5pm, and Thursday 9.45am to 5pm.

First published: 27/04/2020 Last updated: 17/09/2024

Apply to become a claims management company

On this page

What to read first

Prepare your application

Application fee

Final check and submit

If you need more help

On this page

Claims management companies: our regulation[11]

More on authorisation