The ABI's raising standards project has begun to assess the first life companies looking to receive ...
The ABI's raising standards project has begun to assess the first life companies looking to receive its quality mark accreditation.
The deadline for applications passed on 30 June and the Pensions Protection Investments Accreditation Board (PPIAB) is to start its assessment process this week, with the aim of naming brands which achieve accreditation on 17 October.
While there are some five groups which have met the 30 June deadline, the PPIAB said the number of brands interested in accreditation is in double figures.
Confidentiality agreements prohibit the independent board from revealing which, and how many, life offices are applying, although Investment Week understands that groups in the initial wave include CGNU, Scottish Equitable, CIS and Unum.
In addition to the changes that need to be made to a company's products, systems and literature, the application for accreditation can cost a brand between £20,000 and £300,000.
These fees, which are paid to the PPIAB, cover pre-quality mark application queries, annual renewal and on-going monitoring by the board.
In order to obtain the marks, brands must meet three key standards: set out the benefits and costs of products clearly; communicate in plain language; and inform investors regularly about their investments.
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