Member Owned

Ownership of mutuals and corporate governance

Members of AFM are either owned by their customers or set up on a not-for-profit basis. This means they are able to focus entirely on the best interests of their customers because they don’t have to account to shareholders.

To help develop high standards of corporate governance and to explore best practice in the way mutuals operate, we have developed an Annotated Corporate Governance Code for mutual insurers (the Code). This is consistent with the UK Corporate Governance Code which all UK listed companies must comply with.


October 2018 update: AFM is consulting on a significant change to its corporate governance code.  The consultation is open until 15 November, and can be viewed here.

To respond to the consultation, please e-mail

For a copy of our analysis of  the range of different governance codes in place or proposed, click here.


Each year our members assess their compliance with the Code. If there are any aspects they are unable to comply with, they include these in their annual reports.  The latest copy of the Code is:

The Annotated Corporate Governance Code for Mutual Insurers: September 2016 *

AFM corporate governance guidance: the latest version of this guidance was produced in January 2015

We provide regular information about governance in the sector to our members, and support on complying with the Code.  The material previously available on our dedicated governance website,, is being transferred onto this site. 

As well as maintaining the Annotated Corporate Governance Code, AFM issues a range of advice and support to members on governance, as well as formal guidance in support of the Code.

In 2016 we launched our NED toolkit (revised January 2017).  This is available to members by request; a summary is available to download.  The accompanying Duties of Directors is also available to download.

Other documents include: