The FCA has warned that it will take action against general insurance firms who fail to implement transparency rules. The rules require firms to display clearly the insurance premium a customer paid last year alongside their proposed renewal premium, as well as a prominent message encouraging customers to shop around.
The FCA outlined how firms were failing to meet the rules, including:
- Implementing the new rules for all products and customers;
- Correctly stating the previous year's premium;
- Identifying all customers who needed renewal information due to either system error or mistaken interpretation of the rules.
The FCA expects firms and senior management in those firms to take immediate action to ensure they are compliant with the rules. A copy of the press release can be viewed at: bit.ly/2H5iLjZ