The difficulty of arranging pi cover in the downturn shows the need for A CLEARer description OF mis-selling than there has been up to now
Insurers are in the business of judging risk and the problems intermediaries now face gaining PI cover suggest the regulatory burdens of giving advice outweigh the potential rewards. The greatest problem is the continuous series of reviews and investigations into potential mis-selling. As equity markets continue to tumble, the PI insurers see a danger that more of such investigations may emerge. This highlights an essential problem for the financial services: what is the dividing line between mis-selling and restrospective disappointment with the performance of a product? The FSA app...
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