Apply for or renew authorisation for a claims management company
How to apply for authorisation to become a regulated claims company, understanding the fee structure, and how and when to pay fees.
Apply for authorisation
You can apply for authorisation online or by completing a paper form. You鈥檒l find both options in the
The Claims Management Regulator (CMR) usually processes applications within 45 days. However, it can take up to 3 months if the regulator needs to get in touch for more information. Please note that this timescale does not include any time during which we are waiting for information from you.
When you apply, make sure that:
- your company is fully formed and records are up to date (if you鈥檙e a limited company)
- you supply proof of identity (a copy of your passport or driving licence)
- you provide proof of residential address (2 utility bills, such as gas, electricity, water or council tax)
- you provide any additional information indicated by the form in relation to your specific business model. For example, if you intend to have a contract with your client you will need to provide a copy (or draft) of all of your client paperwork with the application form
- you complete the application form correctly
To become an authorised claims management company (CMC), you must complete an assessment of your regulations and guidelines.
. If you are granted authorisation you must then follow all of theRenew your authorisation
The regulator will contact you at the start of each new year. You鈥檒l need to supply information about your business turnover so CMR can work out how much your fee should be. This takes about a month.
CMR will then invoice you at the start of March, giving you 30 days to settle the bill.
You can
Fees for authorised CMCs
CMR Fees
Authorised CMCs need to pay:
- a one-off application fee of 拢2,000
- an annual fee (based on your business turnover)
Annual turnover | Annual fee |
---|---|
under 拢5,000 | 拢200 |
拢5,000 to 拢14,999 | 拢350 |
拢15,000 to 拢24,999 | 拢500 |
拢25,000 to 拢74,999 | 拢650 |
拢75,000 to 拢88,889 | 拢800 |
Larger businesses pay an amount based on their turnover:
- 0.900% of annual turnover up to 拢1 million.
- Plus 0.800% of annual turnover between 拢1 million and 拢5 million.
- Plus 0.750% of annual turnover above 拢5 million.
For more details, view our
.Legal Ombudsman complaint handling fees
We also collect fees for the which now handles service complaints about CMCs. The fees payable by CMCs for complaint handling are set out in the schedule of the and have been amended by the .
Pay your fees
You can pay by cheque, postal order or banker鈥檚 draft made payable to Ministry of Justice.
If you鈥檙e paying your annual fee, write the authorisation number on the back of the cheque or postal order.
Payment problems
If you don鈥檛 pay your fees, you won鈥檛 be able to operate as a claims management company and your authorisation may be cancelled.
If you have any problems with paying fees, contact [email protected].
Updates to this page
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2018-19 Fees determination added
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2017-2018 Fees determination added
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Fees consultation response 2015/16 added, including the proposed fees framework. Legal Ombudsman fees framework link added.
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First published.