Category Insurance

FCA report – lessons learned from its regulatory sandbox

On 20 October 2017, the FCA published a report on lessons learned from its regulatory sandbox. As a reminder, the regulatory sandbox allows firms to test innovative products, services and business models in a live market environment, while ensuring that appropriate safeguards are in place. The report contains the FCA’s reflections on how the sandbox […]

Insurance firms “falling short of renewal expectations”

In its latest multi-firm review, FCA has reviewed the manner in which general insurance firms have implemented transparency rules in insurance renewals.  The rules apply when a firm sends a general insurance renewal notice to a consumer, and came into effect in April 2017. FCA noted ‘a range of concerns’ and identified four key areas […]

FCA’s first Financial Lives Survey: 50% of UK adults potentially vulnerable

After collecting responses from over 13,000 UK consumers, FCA has revealed the results of its largest tracking survey of consumer behaviour and use of retail financial products and services. Aiming to tell the financial story for six age demographics (and key themes of each life stage), the survey found that 50% of the adult population shows one […]

Insurance Europe supports IDD delay

ECON’s call to the Commission to delay the application of the Insurance Distribution Directive (IDD) has been welcomed by Michaela Koller, director general of Insurance Europe. The EU Parliament’s ECON committee recommended the delays to the European Commission, and Insurance Europe hopes a delay would give insurers sufficient time to implement IDD with legal certainty (which, by extension, […]

HM Treasury updates draft ILS regulations

Further to the July 2017 versions, HM Treasury has published updated October 2017 versions of The Risk Transformation Regulations 2017 and The Risk Transformation (Tax) Regulations 2017, which will provide a new regulatory, supervisory and tax framework in relation to insurance linked securities in the UK.  

EIOPA publishes guidelines for “execution-only” sales of IBIPs under IDD

Further to a public consultation, EIOPA has published a final report on its guidelines for insurance based investment products (IBIPs) under IDD that incorporate a structure which makes it difficult to understand the risks involved. These guidelines apply to execution-only sales under Article 30(3) of IDD. One of the conditions specified in Article 30(3) of […]

Commission asks ESAs for retail product evaluation

The Commission has published its formal request to the ESAs to report to it on the cost and past performance of the main categories of retail investment, insurance and pension products. It notes the reporting should be based on what is required under key EU legislation, and appreciates the amount of work is such that […]

Chancellor’s repsonse to Treasury Committee’s letter on the effect of Brexit on insurance contracts

The Government has published a response to the Treasury Committee letter on Brexit and insurance contracts. The letter acknowledges the risk that the UK’s withdrawal could create legal uncertainties as to the status of existing cross-border insurance. The Government has been working with the insurance industry and others in the financial services sector to understand […]

FCA speaks on the ageing population

Linda Woodall has spoken at an event to launch FCA’s Occasional Paper on the ageing population. FCA has for some years been aware that the financial services needs of older consumers are generally not being met. Not all older consumers are disadvantaged and not all have the same needs. But, while there is no “one-size-fits-all” […]

ABI comments on the impact of the GDPR on innovation in insurance

On 12 October 2017, the Association of British Insurers (ABI) published a blog on the impact of the GDPR on innovation in insurance. The ABI discusses a recent study on “Harnessing Innovation in European Insurance” undertaken by an independent research company, PAC, and BAE Systems. The study reports that “only one third of European insurers believe themselves to […]