News analysis: A question of fair value
Brokers and insurers could face increased scrutiny as the Financial Conduct Authority zones in on fair value. Martin Friel investigates what this means for insurance businesses
Fair value is the latest buzz phrase to come out of the Financial Conduct Authority (FCA), having been cited in recent high-profile interventions into dual pricing (or price walking as the regulator refers to it) and the leaseholder buildings insurance market.
In fact, the FCA is so keen on it, compliance consultant Branko Bjelobaba found that in last year’s consultation paper on general insurance pricing practices, the word ‘value’ was mentioned 209 times in a 152-page document.
That the
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