ABI Supports FSA’s ‘Principles’ Move

The Association of British Insurers joined Willis CEO Joe Plumeri (See related article) in lauding the Financial Services Authority’s (FSA) commitment to revise the rules for selling general insurance towards a more principles-based approach (See IJ web site March 21).

ABI Director General Stephen Haddrill commented: “Customers will benefit from the FSA’s simplified, principles-based and proportionate approach to regulating general insurance. This must apply across all sectors of general insurance.

“ABI research has shown that providing customers with unwanted information can be counter-productive. Many customers shop around less if their time is wasted. The FSA is right to focus on getting the right outcome for customers.”

“It should do what it can under EU law quickly, and press the Commission to review the Insurance Mediation Directive urgently to enable a fully principles-based regime to be established.”