The availability and cost of professional indemnity insurance for financial advisers is an issue firmly on the FCA’s radar, says the regulator.
FCA head of general insurance and protection Simon Green says the regulator looks at the issue “constantly” in terms of its prudential approach to the adviser market.
Speaking at the FCA’s Canary Wharf offices last night, Green said: “This is an issue that we are challenged on frequently from our practitioner panel because it is a key element of providing prudential soundness in the adviser market.
“It is something that is firmly on our radar. We look at it on an ongoing basis in terms of the prudential rules, which are not static. Both for the adviser and solicitor markets, it is something we keep coming back to and challenging the GI providers on.”