Kevin Carr spoke at Protection Review’s conference on 27th November 2024, saying the City Watchdog is right to review how protection products are sold and how commissions are arranged.
The Chief Executive Officer of Protection Review, the organisation that provides independent review of the UK’s health and protection insurance industry, spoke at its annual conference in London on 27th November 2024.
Kevin Carr gave the opening address and chaired a session entitled “The Perfection Gap”. In his address, Mr Carr said that the Financial Conduct Authority was right to review the protection insurance market, as “there are areas to improve”.
What are protection products, and why do they need a review?
+ −The protection insurance market offers policies to help people when circumstances change, such as loss of employment, serious illness or death. They can provide peace of mind and financial security by paying a lump sum or regular amount to cover mortgage, rent and household bills.
The Financial Conduct Authority (FCA), the financial industry’s watchdog, announced a review of protection products in August 2024 as part of its wider Consumer Duty.
The FCA was concerned that not all products offered ‘fair value’ to customers, for example, mis-selling cases had been identified, where policyholders were encouraged to switch to another policy unnecessarily, just so the adviser received an additional commission.
Mr Carr reminded the audience at the Protection Review conference that some unscrupulous advisers were telling existing policyholder they no longer needed to disclose specific health issues and could save money as a result. “The new application is lying, and the policy may never pay out”, he said.
TLW Solicitors’ view
+ −Sarah Spruce, Legal Director at TLW Solicitors, says:
“Getting clients to switch policies unnecessarily just so an adviser can ‘earn’ another commission is a form of financial mis-selling. After its review, it will be interesting to see what the FCA says, but we would expect positive changes within the protection products industry, in line with other improvements Consumer Duty has already brought.
“Our team has many years of experience dealing with consumer claims related to poor professional advice and mis-selling. We can help you make a compensation claim and get back the money you are owed. Contact our team of financial mis-selling specialists for a confidential, no obligation discussion to see if you are eligible to make a no-win, no-fee compensation claim.”
Financial mi-selling claims specialists – get in touch
+ −If you or someone close to you have paid into a pure protection insurance policy that did not meet your needs or were urged to switch to another policy unnecessarily, you might qualify for compensation. Our team will first discuss your potential case. If we determine your mis-sold insurance refund claim is viable, we will consider entering into a ‘no-win no-fee’ agreement. This means you will not be charged for the time we spent on your refund claim if your case does not succeed.
Please call us on 0800 169 5925, email us info@tlwsolicitors.co.uk, or complete the callback below, and our team will contact you for an initial, no-obligation consultation.
It is important to get advice as soon as possible, as strict time limits can apply.
Minimum case values apply
Meet The Team
Meet Sarah, Legal Director at TLW Solicitors.
Sarah and her colleagues are on hand to help with your claim.
TLW Solicitors pledge to:
- Always fight your corner.
- Explain anything you don't understand.
- Provide full transparency on our charges.
- Never ask for any upfront payment.
- Recover the best compensation we can.
- Keep your personal information safe.
- Respond quickly to any queries.
