FCA launches review into premium finance “fair value” and barriers to competition
The Financial Conduct Authority has launched a review, known as a competition market study, to see whether people who borrow to pay for motor and home insurance are receiving fair, competitive deals.
The regulator said it was conducting the review because premium finance is “an important product for many customers” but that it had been concerned about it “for some time”, adding it “may not represent fair value for some customers and that competition may not be functioning effectively”.
We want to ensure that competition works well and make it easier for consumers to find the best deals.
As part of its market study, the FCA will also look at whether customers are made aware of their financing
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