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

FCA warns on loan notes and mini-bond investment risks

FCA warns on loan notes and mini-bond investment risks

Urges consumers to be wary of high-risk investments

Jenna Brown
clock 20 August 2026 • 2 min read
SVS Securities CEO banned and fined

SVS Securities CEO banned and fined

Demetrios Hadjigeorgiou barred from working in senior management positions

Jenna Brown
clock 20 August 2026 • 2 min read
Suitability rules overhaul: Why firms should engage now, not later

Suitability rules overhaul: Why firms should engage now, not later

'The bigger shift is philosophical, not just structural'

Marjolaine Quirke
clock 19 August 2026 • 3 min read