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The Life Insurance Market

Thursday, March 04

Can we get the FSA to act against those who lie to consumers? @ 08:15 AM

I got a call last week from one of the many small protection specialist advisers asking me if LifeSearch had also experienced the routine trick of a telephone based non-adviser. As he put it, "The non advisers say they do not give advice, so the FSA doesn't bother them, but the moment there is competition from an adviser, they say whatever they like in order to win the business. The fact that they have no training and what they say is normally rubbish is secondary. They should not say anything at all about other policies or what's better than what. That's advice."

I said that the thing one had to remember about the FSA was that unless a lot of people kicked up a serious fuss, they seldom crack down on systemic abuse until way too late. I complained about PPI perhaps 5 years before it was challenged and even that far too late intervention was only because the OFT caused the debate. I wonder how many protection advisers there are out there who have experienced this and fancy signing a letter to the FSA enforcement division?

Tom Baigrie
Managing Director
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