The FSA has launched a thematic review into the governance arrangements of the £800bn unit-linked fund sector.
The review has been launched to make sure there are sufficient protections in place for pension savers as automatic enrolment rolls out.
It will assess whether:
firms have adequate systems and controls in place to ensure that funds are administered and managed fairly and in accordance with customer expectations;
assets backing unit-linked policies are appropriate for policyholders; and
policyholder benefits are calculated fairly and accurately.
The regulator expects to publish findings from the review in the Autumn.