independent insurance broker
Claims Regulation
In January 2005 the Independent Body known as the Financial Services Authority became the regulator of the Insurance Industry.
The impact of this regulation can be seen throughout the procedures now implemented by ourselves, the insurers we represent and the documentation provided to our clients.
Whilst the FSA have not set specific timescales for the processes involved in the claims procedure, they have however advised that insurers must handle claims fairly and promptly. Furthermore, an insurer must:
- respond promptly to a notification of a claim by a retail customer;
- keep the retail customer reasonably informed about the progress of the claim;
- notify the customer as soon as practicable whether the claim is rejected, accepted or accepted in part;
- explain why a claim is being rejected, or accepted in part and offer to provide that in a durable medium; and
- settle claims promptly.
If the FSA suspects and proves that an insurer is not complying with these rules large fines can be imposed against that Insurance Company.
If you are not satisfied with the original, or secondary, claim settlement figures provided by the insurer you can make a complaint to the Financial Ombudsman Service who will independently evaluate the evidence submitted by both yourself and the insurer and award an amount that they feel is reasonable to the claim. If you are still not happy with the figure granted you can continue with private legal proceedings against the insurer.
Details of how to make a complaint can be found in our Terms of Business.
