View more on these topics

FSA must take action on PI

The professional indemnity crisis is becoming a very real threat to many IFA businesses.

Nearly all are facing huge increases, in many cases, up to double or three times normal premiums and, in one exceptional case, up to 750 per cent more than last year.

Others are finding it virtually impossible to access compliant cover, often through no fault of their own but simply as a result of the constricting market, with just a handful of PI insurers willing to take on the perceived risky business of an IFA.

Throughout this crisis, the FSA has remained steadfast in its resolve to enforce regulations that all firms have compliant cover.

Only recently does it appear to be taking a softer line, asking Aifa to survey its members to gauge the extent of the problem.

The regulator says it is willing to take into consideration factors such as capital adequacy as a means of offsetting PI insurance but are such moves too little too late for many IFA firms? Many do not have the spare capital lying around, hence the problem of paying for PI.

It is time for the FSA to take action and discuss the issue with the industry and come up with a viable alternative to help protect smaller firms.

Money Marketing is asking readers to tell us about their PI nightmare stories to create a body of evidence to put to the regulator.

This week, MM is also launching the Sandler Forum examining the implications on the market of the imposition of Sandler&#39s suite of stakeholder products.

The forum aims to discuss the pros and cons of the products, courting the views of the industry and all interested parties.


L&H Fundstore offers access to 650 funds

Leeds & Holbeck Building Society is launching Fundstore, a white-labelled version of Fidelity&#39s FundsNetwork fund supermarket.The service, initially aimed at L&H&#39s existing customers, will offer investors access to the full range of funds from nearly 50 fund managers available from the Fidelity supermarket.The service is on an execution-only basis and allows investors to mix and […]

Jackman wins battle at FSA to save T&C review

The FSA is publishing a consultation paper before the end of November detailing its plans for new IFA training and competence standards, according to head of industry training David Jackman.Jackman said last week that a paper outlining the FSA&#39s preference for regime change, first outlined nearly a year ago, would be finished by the end […]

Derbyshire BS launches remortgage deal

Derbyshire Building Society is launching a fixed rate remortgage product with no application or valuation fee.The three-year product has a rate of 4.99 per cent and offers free accident, sickness and unemployment insurance for the first three months. Interest is calculated daily and there is no early repayment charge after the fixed period.Maximum loan to […]

Legg Mason U-turn on direct offers

IFAs have hit out at Legg Mason Investors, accusing it of disregarding them and reneging on its pledge not to offer non-commission-paying products direct to clients who have maturing policies.IFA Stuart & Co complained to Legg Mason last year that a client with a maturing five-year structured product had been contacted by the firm offering […]

Pensions - thumbnail

Preparing for the changes to the pensions market

As more and more providers start to reveal their stance on the charge cap and removal of commission and active member discount pricing, we thought it would be worthwhile to look at what these are, and the steps businesses should be taking to prepare for this.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm