BIBA welcomes FCA action to support long-standing customers in its Pricing Practices Policy Statement. We and our members continue to support an end to dual pricing and any move by product providers to compete on the quality of cover as much as on price would be a great outcome for consumers.
In particular the FCA showing what has to and what does not have to be reflected in the equivalent new business price in terms of incentives or other benefits such as; retail vouchers, cashback, free add-ons or free months, will aid the decision making process.
We believe that the requirements made around product value will necessitate increased interactions between brokers and insurers and we are sure that the industry will work collaboratively to deliver on the respective product governance obligations. We will continue to engage with the FCA, to assist members in meeting the spirit as much as the letter of the new rules as these changes are rolled out.