FSA confirms 3 million payment protection insurance plans under review
The Financial Services Authority (FSA) has today confirmed that around 3 million people may well be eligible for compensation payments which could top £2 billion over the alleged mis-selling of payment protection insurance (PPI). So far the authorities have received in excess of 100,000 complaints regarding PPI and there are many more expected in the short to medium term.
The authorities have today issued new rules on how the flood of complaints should be handled and indeed what form and what size of compensation can be expected. This is a situation which many banks in the UK have attempted to delay and indeed a number of banks clubbed together to demand a review of the PPI ruling by the FSA. In simple terms, the FSA has introduced new rules which will come into play later in 2010 which will offer customers more information on PPI products, a cooling off period and the ability to look elsewhere for their cover.
However, there are many points of friction between the UK financial industry and the FSA over changes to PPI. Quite how these will impact upon the final ruling and future of PPI very much remains to be seen.
UK insurance trap could hit 7 million people
It has been revealed that a number of UK insurance companies have small print built into their contracts, one of which demands that those acquiring policies need to reveal any past convictions or minor offences against their name. A recent case regarding a property which was the subject of an arson attack brought the small print to light when a £241,000 payment was paid back to Aviva after the co...Read More
Brits warned over lying to car insurers
Britons have been urged to come clean with car insurance providers or risk being barred from the roads if their fraudulent claim is discovered. In a poll conducted by moneysupermarket.com, people were asked how they would react in the event of their car being stolen as a result of it being left unlocked. Of the sample some 33 per cent said that they would lie to their car insurance provider rather...Read More
Aon fined £5.25 million for compliance failures
The financial services authority (FSA) has today levied the largest fine ever on a UK insurance company with news that Aon has been fined £5.25 million for having insufficient internal controls to stop over $7 million worth of suspicious payments being made to overseas firms and individuals. It is not clear as to whether these payments were actually illegal or fraudulent but the fact that the int...Read More
Is health insurance set to become mandatory?
As we covered in our earlier article today it seems as though there is a move towards allowing patients to 'top up' their NHS treatment to pay for drugs which may not be readily available on the NHS. But is this a good move or the first step towards mandatory health insurance for everyone in the UK?
There has long been a feeling that health insurance will at some stage become manda...
Is your garden insured for the increased risk of theft?
As crazy as it may sound there has been a significant increase in garden thefts since the recession hit home and many homeowners are finding they are severely under-insured. We are talking about thieves breaking into sheds and stealing expensive equipment as well as thieves stealing expensive shrubs, plants and even freshly laid lawns. So are you fully covered?
The vast majority of...