FSA Regulation
FSA Regulatory Risk
With FSA regulation of the General Insurance market, intermediaries need to be much clearer about the choices that they are offering their customers. As a result intermediaries are becoming more conscious of the need to explain to the customer why they are being offered certain options over others.
As long as you take steps to handle different customers' business in a compliant way, advising the customer of any conflicts of interest and keeping the customers' interests in mind relative to your status disclosure you will be able to continue employing a number of different remuneration and incentive offerings
It is also important that you have appropriate systems and controls within your business to manage the risk that you will not trade compliantly. Ultimately if you feel you are unable to control these risks you may consider it appropriate to agree alternative trading models with insurers.
