SimplyBiz launches attack on proposed £350,000 FOS limit

'PI insurers may leave market'

Tom Ellis
clock • 2 min read

Adviser compliance and business support firm SimplyBiz has launched an attack on the FCA proposals to increase the limit consumers can claim from the Financial Ombudsman Service.

The group said it had spoken to a number of professional indemnity (PI) insurers and had raised concerns about the potential increase to premiums and levels of excess in contracts if the Financial Conduct Authority (FCA) goes ahead with its proposals to increase the compensation limit from £150,000 to £350,000. It also pointed to the risk some insurers may leave the market and potential entrants may be deterred.   The regulator said its CP18/31 proposals - which would more than double the amount the ombudsman could make firms compensate people - would be fairer for customers. According t...

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 Regulation

Duty of care: Moving the needle from compliance to strategy

Duty of care: Moving the needle from compliance to strategy

'Prioritising vulnerable customers should no longer be seen as an overhead'

Jonathan Barrett
clock 10 February 2026 • 4 min read
Verve flags adviser hesitance over compliance switching

Verve flags adviser hesitance over compliance switching

Launches guide

Jen Frost
clock 06 February 2026 • 2 min read
Failed financial advice firms tracker

Failed financial advice firms tracker

Firms that the FSCS has confirmed as failed since the start of 2023

Professional Adviser
clock 06 February 2026 • 1 min read