FCA sounds warning bell to protection providers over poor practises

Latest ‘Dear CEO’ letter lays out regulatory concerns

John Brazier
clock • 4 min read

The Financial Conduct Authority (FCA) has sent a warning to heads of protection product manufacturers over a range of poor practices it has identified following the introduction of the Consumer Duty in July.

In its latest ‘Dear CEO' letter sent to providers of protection products (20 September), the regulator's director of insurance Matt Brewis laid bare concerns over increasing reliance on outsourced or third parties, current oversight of appointed representatives, and a "lack of operational resilience within firms to the detriment of customers and the wider market." "Where insurance works well, we see customers invested in good value pensions products with good quality and timely support when they need it, and claims being met quickly and fairly at the time of customers' greatest need," Br...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Protection

Advised protection sales predicted to grow this year

Advised protection sales predicted to grow this year

'Growing sense that protection advice is changing for the better'

Cameron Roberts
clock 04 June 2024 • 2 min read
Protection is for life not just when clients climb the property ladder

Protection is for life not just when clients climb the property ladder

'Protection isn’t only needed when you buy a property'

Naomi Greatorex
clock 29 May 2024 • 3 min read
Partner Insight: Unlocking protection opportunities – advising high net worth clients

Partner Insight: Unlocking protection opportunities – advising high net worth clients

Jon Fuller, Head of Specialist Protection at Royal London, considers the nuances in advising high net worth clients

Jon Fuller, Head of Specialist Protection at Royal London
clock 28 May 2024 • 4 min read