Watchdogs join forces with consumer protection committee
by Gill Montia
Story link: Watchdogs join forces with consumer protection committee
The Financial Services Authority (FSA), Office of Fair Trading (OFT) and Financial Ombudsman Service (FOS) are proposing to set up a consumer protection committee.
In a discussion paper, the watchdogs state: “A key element in rebuilding consumer confidence in financial services is that firms carrying out activities regulated by the FSA and/or licensed by the OFT [...]
Insurers slow on plumbing and heating emergencies
by Gill Montia
Story link: Insurers slow on plumbing and heating emergencies
The Financial Ombudsman Service (FOS) has published its latest bulletin in which it highlights a significant number of complaints relating to delays experienced by those who have taken out insurance for domestic plumbing and heating emergencies.
According to the watchdog, some insurers have left homeowners without heating for weeks, leading to “damaging knock-on effects”.
In the cases [...]
No theft cover for defrosting cars
by Gill Montia
Story link: No theft cover for defrosting cars
With night time temperatures well below zero, the Financial Ombudsman Service (FOS) is reminding motorist that most motor insurance policies include a clause that excludes cover for theft, attempted theft or malicious damage, if the ignition keys are left “in or on the vehicle”.
According to the watchdog, drivers who start their engines for a defrost [...]
ABI calls for swift action on RDR clarification
by Gill Montia
Story link: ABI calls for swift action on RDR clarification
The Association of British Insurers (ABI) has called on the Financial Services Authority (FSA) to “act quickly” to ensure the full benefits of the Retail Distribution Review (RDR) are secured.
The regulator has plans to replace commission with adviser charging, and also intends to raise the professional standards of financial advisers.
However, the ABI has pointed out [...]
No hiding place for PPI mis-sellers
by Gill Montia
Story link: No hiding place for PPI mis-sellers
The day of reckoning has arrived for lenders who mis-sold single premium payment protection insurance (PPI) alongside unsecured loans and credit card agreements, and then tossed aside consumer complaints about their practices.
The Financial Services Authority has announced “a package of tough measures” which it says will “tackle the key issue that too many complaints are [...]
ABI acts on “misleading” Financial Ombudsman data
by Gill Montia
Story link: ABI acts on “misleading” Financial Ombudsman data
The Financial Ombudsman Service (FOS) has published details of the complaints received about UK financial institutions, and for the first time has named the insurance companies, banks, and investment firms that feature in its statistics.
The figures cover the six months to the end of June 2009 and show the number of complaints received about individual [...]
Insurance law up for review
by Gill Montia
Story link: Insurance law up for review
The Law Commission is dissatisfied with current insurance law, The Daily Telegraph has reported.
The independent body, which keeps the law under review and recommends reform where needed, is due to report on insurance law this autumn.
According to the newspaper, it will say that current insurance law is unsuited to mass-market consumer insurance policies because it [...]
ABI challenges FSA on RDR qualification issues
by Gill Montia
Story link: ABI challenges FSA on RDR qualification issues
The Association of British Insurers (ABI) has responded to the Financial Services Authority’s (FSA’s) Consultation Paper on the Retail Distribution Review (RDR) by applauding the work so far but expressing disappointment that it does little to encourage savings and advice for the mass market.
ABI director of life and savings, Maggie Craig, points out that around [...]
FOS reports “weary cynicism” in complaints handing
by Gill Montia
Story link: FOS reports “weary cynicism” in complaints handing
The Financial Ombudsman Service (FOS) is unhappy about the way consumers are being treated when they complain about the products and services provided by the UK’s financial institutions.
According to the watchdog, a growing number of consumers are receiving “dismal” treatment when they raise a complaint, which the FOS suggested could reflect a “weary cynicism” across [...]
FOS reports surge in PPI complaints
by Gill Montia
Story link: FOS reports surge in PPI complaints
The Financial Ombudsman Service (FOS) says it has received over 25,000 complaints relating to the sale of payment protection insurance (PPI), since January.
By comparison, during the 12 months to April 2008 the service recorded 10,652 complaints regarding PPI, up significantly from 1,832 during the previous 12 months.
At the beginning of the year, the FOS [...]
Disciplinary board to investigate Equitable Life actuaries
by Gill Montia
Story link: Disciplinary board to investigate Equitable Life actuaries
The Accountancy and Actuarial Discipline Board (AADB) is to investigate the way in which government actuaries advised the regulators of mutual life insurer, Equitable Life.
The board will focus its enquiries on the advice given by the Government Actuary’s Department (GAD), between December 1990 and April 2001.
Equitable Life was founded in 1762 and grew [...]
FOS upholds 80% of single premium PPI complaints
by Gill Montia
Story link: FOS upholds 80% of single premium PPI complaints
Changing economic circumstances could result in an increase in claims for Payment Protection Insurance (PPI) during 2008, and while a rise in redundancies would almost certainly reveal further instances of mis-selling there is good news from the Financial Ombusdman Service (FOS).
Emma Parker, spokesperson for the FOS, states: “We received a record 970 cases in December [...]
Ombudsman To Investigate 4,000 PPI Claims This Year
by Stewart Douglas
Story link: Ombudsman To Investigate 4,000 PPI Claims This Year
The Financial Ombudsman has today announced that it is continuing to investigate some 4,000 claims of mis-sold payment protection insurance despite moves made to clamp down on rogue selling of incomplete and inadequate cover to consumers.
The announcement follows an ongoing battle by the Financial Services Authority to eradicate unscrupulous policy sellers and to clear up [...]
Ombudsman warns against fronting
by Gill Montia
Story link: Ombudsman warns against fronting
The Financial Ombudsman Service is warning motorists that the insurance industry is currently rejecting thousand of claims because of a form of fraud known in the industry as “fronting”.
A common example of “fronting” would be when a young driver has a car but falsely informs his or her insurance company that a parent is the [...]
CII President to review Ombudsman Service
by Gill Montia
Story link: CII President to review Ombudsman Service
The president of the Chartered Insurance Institute, Lord Hunt of Wirral, is to lead an independent review of the Financial Ombudsman Service (FOS).
The review will consider the openness and accessibility of the service to its customers and stakeholders.
It forms part of a programme under which the FOS board invites external scrutiny by way of three-yearly [...]
