Back in June 2020, the Financial Conduct Authority (FCA) published guidance on expectations for insurers and insurance intermediaries to assess the value of their products in light of the exceptional circumstances arising from the coronavirus pandemic.
The FCA asked insurers to review whether or not their offerings were still providing value to customers as circumstances changed – particularly if the current pandemic has meant that firms have been unable to provide benefits, for example.
Deadline coming up
“The insurers should review their product lines and act where products have not delivered the intended value to customers,” the FCA said in a statement back in October. “This could include providing alternative benefits, reducing premiums or partial refunds of premiums paid.
“Firms should complete their coronavirus-related review of product lines and decide what action to take by 3 December 2020. We said we would review this guidance and revise it if appropriate. We have now done this and do not propose to update this guidance.”