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.

On this page

• What to read first
• Prepare your application
• Application fee
• Final check and submit

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

What to read first

Our how to apply 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 system.

Please refer to the portfolio letters we sent to authorised CMCs in 2023 and in 2020 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.

Read the claims management section 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 you need to include.

Our how to apply 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 system.

Please refer to the portfolio letters we sent to authorised CMCs in 2023 and in 2020 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.

Read the claims management section 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 you need to include.

Prepare your application

You'll submit your application through Connect, so make sure you register.

Your application must include your:

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

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

  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 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

      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 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, which will be £2,500
      • any other claims management activities, your fee falls into pricing category 6, which will be £10,000

      Find out more about our authorisation fees, 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 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.