FCA: Supporting Customers in Financial Difficulties
The FCA recently issued a policy statement ‘Finalised insurance guidance on supporting customers in financial difficulty’.
In January 2023, the FCA published a consultation paper (CP23/1) on insurance guidance for supporting customers in financial difficulty. This was to replace the insurance aspects of finalised guidance for insurance and premium finance firms on supporting customers in financial difficulty (‘Covid guidance’) issued in November 2020. In this paper, this is summarised feedback received on proposed measures and their response.
The guidance affects a range of stakeholders including:
• insurers and insurance intermediaries
• premium finance firms
• consumers in financial difficulty
• consumer representative bodies
• charities and other organisations with a particular interest in insurance and customers in financial difficulty
• trade bodies representing insurance firms
The guidance will come into effect on 31 July 2023.
