The consumer director of the Irish Financial Services Regulatory Authority (IFSRA), Ms Mary O'Dea, has called for "transparency" among brokers and has promised an early examination of commissions within the industry.

Brokers should ask themselves if they are working for consumers or if they are purely "sales driven", Ms O'Dea told the annual general meeting of the Irish Brokers' Association (IBA) in Galway yesterday. "Whatever their answer, they need to be transparent about it," Ms O'Dea said.

The commissions structure within the brokers' community would be examined very early on by the new authority, which is expected to be established next month, she said.

Particular aspects of the structure, such as override commissions, would be focused on, she said, and the authority's views and recommendations would then be published as a consultation document.

Override commissions are additional commissions that brokers receive from the insurance companies. They are not paid out of the funds invested by the client, but may be said to influence where brokers place their business.

"For the first time, the financial regulator will be able to get information from insurance companies, as well as from brokers," she said. A point often made by the insurance industry was that people were under-covered in terms of life policies.

"This may be because consumers just don't trust the packages they are being offered, and our job will be to explain to consumers what their choices are."

Brokers had already experienced radical changes in terms of compliance, and it was in their interest to maintain their reputation with the public, Ms O'Dea said.

"There is an opportunity for brokers and intermediaries to develop their role to become more recognised as personal financial advisers.

"The market is changing," she warned. "As the new financial regulator, we will be seeking to ensure that the consumer is better informed about financial services and will shop around for products and advice.

"The consumer should be prepared to demand better service. The industry, in turn, will need to place the consumer at the very heart of the business, and this goes for all sectors in financial services."

Mr Gary Owens, managing director of the Hibernian General Insurance Company, said he hoped the regulatory environment would strike the "right balance" between the level of regulation and the cost of compliance. Half the population had inadequate pension provision and no life cover, and regulations must not put the customer off, he said.

Referring to the penalty points system, Mr Owens called for absolute enforcement. Road deaths for March this year showed that a level of complacency was slipping in, and there was an urgent need for more gardaí on the road and the proper IT systems to back the programme up.

He said that he had full confidence in the Tánaiste's promise to deliver on much-needed insurance reform, and was convinced that the new personal injuries assessment board would be in place by January 1st. In 26 years in the business, he had witnessed many attempts at reform, but believed that Ms Harney "would deliver" on this one.