Dealers Onboarding Agreement

Terms and Conditions

For Hippo Vehicle Solutions Ltd Dealers Onboarding Agreement V1.2

Your Agreement with us: When you sign the dealers onboarding form, you accept the terms and conditions set out in this agreement.

Please read this agreement carefully and if there is anything you do not understand, or may not agree with, ask any member of staff at the Hippo office where you were contacted. If you wish to rely on any amendment or addition to the Agreement, you should ensure it is confirmed in writing by one of our duly authorised representatives.

1. You must provide us with any information we need in order to comply with money laundering legislation, and guarantee the accuracy of the information so supplied.
2. Definitions:

• ‘We’ or ‘Us’ refers to Hippo Vehicle Solutions Ltd as the broker of the goods.
• ‘You’ refers to the third party dealer as the issuer of the goods.
• ‘Vehicle’ refers to the goods being ordered and supplied.

Limitation of Liability:
Unless set out otherwise herein, we limit our liability for any breach of the Agreement (and for any other liability arising out of or connected to the Agreement) to the amount of the purchase price. We expressly exclude all liability for loss of profit, goodwill or agreements and for any indirect, consequential or economic loss. The limitations in this clause will not apply in cases of fraud, death or personal injury.

Cancellation / Return:

You hereby acknowledge that:

• under the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 (SI 2013/3134) (or such legislation as may substantively replace the same from time-to-time) (CCRs), where any customer is acting as a consumer and is contracting by one or more means of distance communication (for example, over the telephone or online) or on their doorstep or otherwise away from a trader’s premises, they have the right to cancel the contract without having to give any reason for doing so within a period of 14 days (the Time Period) after the day on which they come into the physical possession of a Vehicle;

• the customer has additional statutory rights to return the Vehicle in certain circumstances as well as contractual rights in purchasing a vehicle from you.

Accordingly, you hereby agree, as part of this agreement, that:

• where any customer who has purchased a Vehicle from you exercises its right under the CCR to return a Vehicle within the Time Period or where a Vehicle is otherwise returned by a customer in accordance with their statutory or contractual rights, you will, on demand and on an indemnity basis, be liable to us and hold us harmless (or our finance provider as the case may be) for the full cost of financing the Vehicle (without deduction or retention); and
• you are responsible for including wording within your agreement with your customers / terms of business that makes clear that whilst, such customer has the rights granted under the CCR, the customer will be responsible for the amount by which the value of the Vehicle is diminished as a result of the customer using the Vehicle beyond what is necessary to establish its nature, characteristics and functioning (including more than nominal use or damage to the Vehicle) and you will liaise with the customer in connection with settling liability for any additional costs arising from the cancellation, such as mileage charges, any wear-and-tear damages, or other associated fees.

Indemnity Clause:
In the event that our finance provider seeks compensation from Hippo arising from an unresolved complaint or dispute, Hippo reserves the right to recover the full amount of such compensation from the responsible party. This includes, but is not limited to, any direct or indirect costs, fees, or charges incurred as a result of the claim. The recovery shall be limited to the exact amount paid by Hippo to the finance provider, ensuring full indemnification for the financial impact sustained. This clause is intended to safeguard Hippo’s interests and ensure equitable resolution in such instances.

Dealer Cooperation and Responsibility for Vehicle Condition Complaints

1. Customer Complaint Resolution

• The Dealer agrees to fully cooperate with Hippo Vehicle Solutions Ltd in resolving any customer complaints relating to the condition of the vehicle sold through your company. This includes:
• Providing prompt responses to customer complaints or inquiries.
• Collaborating with Hippo Vehicle Solutions Ltd to investigate and address any issues raised by the customer.

2. Obligation to Address Faults

In cases where a fault is reported within the first six (6) months of the customer taking delivery of the vehicle, the fault is presumed to have been present at the time of delivery unless the Dealer can provide evidence to the contrary. In such instances, the Dealer undertakes the following commitments in accordance with its obligations under the Consumer Rights Act 2015:

• To complete all necessary repairs required to rectify the identified fault, ensuring the vehicle is restored to the expected standard of quality, performance, and reliability as outlined at the point of sale.
• To cover all reasonable costs associated with carrying out such repairs. This includes, but is not limited to, expenses for replacement parts, labour costs, and any other charges directly related to resolving the issue and returning the vehicle to a compliant condition.

3. Fair Assessment
Both parties shall work together to fairly assess whether the fault was present or developing at the time of sale. In cases of dispute, Hippo Vehicle Solutions Ltd reserves the right to consult an independent assessor, with the costs to be borne by the Dealer if the assessment confirms the fault was pre-existing or developing at the time of sale.[This would be more applicable to an issue that arises after the initial 6 month period]

4. Timeliness
Repairs or resolutions must be completed within a reasonable timeframe, ensuring minimal inconvenience to the customer.

5. Cancellation of Finance Agreement / Return of the Vehicle
The Dealer acknowledges that customers:

• are entitled to cancel their finance agreement within the first fourteen (14) days of the contract by applicable laws and regulations; or
• may have additional legal or contractual rights when purchasing a vehicle that permit them to return the vehicle and cancel any agreement related to the purchase of that vehicle.

Where any customer of Hippo Vehicle Solutions Limited exercises any such rights, the Dealer agrees to:

• Immediately process the cancellation of the finance agreement (with or without reasoning) or cancellation of the purchase contract upon receiving notification from Hippo Vehicle Solutions Ltd or the customer.
• Accept the return of the vehicle in the condition it was provided, subject to reasonable wear and tear.
• Bear any associated costs damages, liabilities, demands, claims or expenses arising from the cancellation of the finance agreement and/or purchase agreement and return of the vehicle on a full indemnity basis, including refunding, on demand,  any customer payments made and settling administrative fees related to the cancellation process.

Arrangement Fee for Finance Provision
In line with industry standards, an arrangement fee will be charged to dealerships for facilitating finance options for their customers. This fee must be settled prior to the completion of the financing process.

Data Protection:
The UK GDPR is the UK General Data Protection Regulation. It is UK Law which came into effect on 01 January 2021 following the United Kingdom’s departure from the European Union. UK GDPR replaced the European GDPR for use in the UK. The regulation sets out the key principles, rights and obligations for most processing of personal data in the UK.

Under the regulations, since you hold and process personal information about our mutual customers, staff or suppliers, you are legally obliged to protect that information. You commit to making sure:

• processing is lawful and fair
  • purposes of processing must be specified, explicit and legitimate
  • personal data must be adequate, relevant and not excessive
  • personal data must be accurate and kept up to date
  • personal data must be kept for no longer than necessary
  • personal data must be processed in a secure manner

Agreeing to our terms and conditions confirms your company has the relevant controls in place to remain up to date with any recent and upcoming changes, by the FCA, ICO and FOS.

Complaints Procedure:
In the event of a customer raising a complaint, we expect you to provide a final response to your complainant within 3 days for payment services issues and 8 weeks for all others. You will keep in touch to update the customer if you have encountered any issues that may delay your response.
We will expect you to issue a final response with details of the results of your investigation into your complaint and will state whether it has been accepted or rejected. In both cases you will explain the reasons for your decision. Your aim is to treat all customers consistently and fairly and therefore have strict processes in place to allow you to do so.

Alternative Dispute Resolution:
In the event our mutual customer is unsatisfied you accept full responsibility for subscribing to a third-party conciliation service, and adhere to their codes of practice. You will always attempt to resolve any disputes quickly and efficiently.If a customer remains dissatisfied with the outcome and explanation you have provided, you will advise the customer to contact one of the following who are a provider of Alternative Dispute Resolution (ADR) and offer conciliation and arbitration.

British Vehicle Rental and Leasing Association
complaint@bvrla.co.uk
River Lodge
Badminton Court
Amersham
HP7 0DD

BVRLA rental and leasing members adhere to a mandatory code of conduct. This provides customer with reassurance that the company they are dealing with is committed to delivering the highest industry standards of professionalism and best practice.

The Motor Ombudsman

www.motorcodes.co.uk
71 Great Peter Street
London
SWP1P 2BN
0800 962 0825

The Motor Ombudsman is a member of the Chartered Trading Standards Institute approved consumer codes scheme.

Financial Ombudsman Service
http://www.financial-ombudsman.org.uk/consumer/complaints.htm
Exchange Tower
London
E14 9SR
0800 023 4567 or 0300 123 9123

FOS is approved to be an ADR but the Financial Conduct Authority (FCA) but are still independent of the regulator in the way they investigate individual cases.

Privacy Policy:
You agree to having an up to date privacy policy, that this is available upon request by all customers, suppliers and authorities. This notice will set out what you do with your personal information, what you do to keep it secure, from where and how you collect it, as well as customers rights in relation to the personal information you hold about them.

Vulnerable Customers:
In instances where you identify a customer is vulnerable you will have a robust Vulnerable Customer Policy in place. We expect your policy to set out your approach to identifying and interacting with vulnerable customers to ensure you deliver “good customer outcomes”. A “good customer outcome” is a wide definition and does not just relate to the avoidance of financial detriment, it includes instances which cause or could cause distress and inconvenience.

The purpose of this policy document is to:

▪ Define what constitutes a vulnerable customer.
▪ Set out how customers will achieve a good outcome.
▪ Outline the controls that ensure adherence to the Vulnerable Customer Policy.
▪ Outline how vulnerable customer consideration will be used to drive business improvements.

You will also ensure yourself and your staff are trained regularly to remain competent in dealing with vulnerable customers.

Good Customer Outcomes
By signing this agreement you are agreeing that your business is committed to the FCA’s Consumer Duty protocols:

Outcome 1: Consumers can be confident they are dealing with firms where the fair treatment of customers is central to the corporate culture.
Outcome 2: Products and services marketed and sold in the retail market are designed to meet the needs of identified consumer groups and are targeted accordingly.
Outcome 3: Consumers are provided with clear information and are kept appropriately informed before, during and after the point of sale.
Outcome 4: Where consumers receive advice, the advice is suitable and takes account of their circumstances.
Outcome 5: Consumers are provided with products that perform as firms have led them to expect, and the associated service is of an acceptable standard and as they have been led to expect.
Outcome 6: Consumers do not face unreasonable post-sale barriers imposed by firms to change product, switch provider, submit a claim or make a complaint.

Financial Crime Policy:
This agreement confirms you have the appropriate level of governance in place, with a zero tolerance approach to bribery, corruption, money laundering and other potential financial crime within your business.
Your business is committed to the development of all staff who deal with customers, by ensuring they are fully trained and up to date with The Proceeds of Crime Act 2002 (“POCA”).

Insurance and Membership:
You have agreed your business will remain compliant with regards to all your insurances and professional memberships. Any changes to this should be communicated to Hippo Vehicle Solutions Ltd.

FCA Registered:
During our onboarding process you confirmed you are authorised by the Financial Conduct Authority (FCA) to carry out regulated financial service activities. If there are any changes to your registration status, you must inform Hippo on the first instance.