Flashcards in Ethics, Conduct And Professional Practice Deck (103)
How many rules are there for conduct for firms?
What are the three sections the rules of conduct for firms split into?
Conduct of business
What are the five principles of better regulation?
What does PACTT stand for?
In the conduct for firms, what is covered in the general section?
The definition of a firm
How the RICS will communicate with a firm
In part 2 of rules for firms, what does this include? Seven items
3 Professional behavior
6 training and cpd
7 complaints handling
8 clients money
What is part 3 of rules of conduct for members?
What is covered in conduct for members in firm administration? Five rules
12 arrangements for incapacity and death
13 use of designations
14 information to rics
What are the five ethic principles? And what else is the RICS in involved with?
Standard of service
The RICS is involved with the IES which is ten high level principles. These are being further integrated into RICS services.
How would you act integrity?
No conflicts of interest
What does provide a high level of service mean for you?
Providing best advice
Act within my capabilities
Be transparent with fees
How would you act to promote trust?
Promote through behavior inside and outside of work
What do we mean by treating others with respect?
Be aware of cultural sensitives and unconscious bias
What does take responsibility mean?
Always act with skill, care and diligence
What must all members and firms do at all time regarding conflicts of interests?
Act with integrity and avoid conflicts of interest and avoid any action inconsistent with its professional obligation
When can you progress when a conflict is present?
When informed consent is provided
It is in the interest of those affected
Is not prohibited by law
It does not affect the member or firms ability to advise
What are the three types of conflict?
Own interest conflict
Confidential information conflict
What is an information barrier
Physical and/or electronic separation of individuals or groups within the same firm which prevents information being passed between them.
When was the latest update for Insurance (Rule 9)?
1 May 2020
What is the aim for insurance?
1 - Protect firm against financial los
2-Protect member/firm against consequences of its liability to pay damages
3-Ensure firms clients do not suffer financial loss
What are the three minimum limits of indemnity?
Firms turn over;
100,000 - limit is 250,00
100,000-200,00 - limit is 500,000
200,001 and above - limit is 1,000,000
How do PI Policies work?
Claims made basis
This means that the policy covers claims that are first made against the insured during the period of insurance regardless of when the negligent act occurred.
Why does insurance cover past employees?
Protects firm for work carried out in its name who leave the company
Who does the insurance cover?
past and present members of the firm
What are the fire safety exclusions at BHP?
Working with buildings over 6 storeys or 20M in height, not including 6 storeys.
Aluminium composite materials
What is run off cover and why do we have it?
Ensures firms, members and clients are not exposed to financial detriment in the period following a firm ceasing to trade.
RICS Requires this!
Regarding ' Run off' what are the minimum policy requirements?
Consumer - limited of 1Million for six year period
Non-consumer 'appropriate cover required'.
What is the process if a firm cannot obtain run off form their insurer?
They can get this from the 'Run-Off Pool'.
What are the two sections in Rules of Conduct for Members?
2-Personal and professional standards