FCA issues Final Report in the Wholesale Insurance Broker Market Study
Today, the FCA released its Final Report in its Wholesale Insurance Broker Market Study.
The study, which was launched in 2017, considered competition, transparency and conflicts concerns arising from changes in the market, including an increased use of broker facilities. The FCA's report can be found here.
Relying on responses from the market and interviews with customers (together with its own qualitative and quantitative data), the FCA has found no evidence of significant harm. Unusually, the FCA has also issued a final report (bypassing the issuance of an interim report) based on a lack of need for regulatory intervention.
The FCA has however taken the opportunity to remind firms of their obligations in respect of conflicts of interest and the information needs of, and disclosures to, customers. These reminders are unsurprising given that these areas have been revised to some extent by the implementation of the insurance distribution directive in October last year.