Are your consumer policy renewal procedures up to par?

How would you feel if the FCA descended on you from a great height and told you that you had to reissue some (if not all) of your renewal notices since April, and give your customers the opportunity to terminate cover at no charge if they were not happy?

Well, that is exactly what happened to Admiral who failed to properly disclose last year’s renewal premium on their renewal documents.

OK, you say, they are big boys; the FCA wouldn’t be interested in me. Well, they might be if they had a whistleblowing complaint from a disgruntled ex-employee, or a customer who was not happy with the information you had provided.

Is it worth the risk? Probably not as all you need to do is to ensure that the correct information on what was paid at last renewal (after application of any discounts) is displayed.

If you are in any doubt as to what exactly is needed, talk to your usual contact at RWA.

Ian Ritchie

About the author

Ian has over 50 years’ experience in the insurance business, as insurer, owner/director of an insurance broking firm which ultimately employed 36 people and which was sold in 2001. Subsequently he was a co-founding director of RWA, alongside Robin Wood and Kate Foreman.

His years spent as a broker made Ian ideally placed to empathise with brokers over the requirements and needs of their firms in terms of FSA/FCA compliance.

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