FSA orders protection sales review after 'disappointing' failures

The regulator's post implementation review of the Insurance Conduct of Business Sourcebook (ICOBS), published in June, found "significant failures" by firms, particularly in telephone sales of critical illness (CI) plans. The FSA has now written to firms requesting they review their procedures and provide written confirmation within six months that their rules meet ICOBS requirements. If firms cannot provide confirmation, they must draw up a written plan and timetable outlining when they will be able to meet the rules. The ICOBS rules state firms '‘must take reasonable steps to ens...