View more on these topics

FSA protection probe ‘bizarre’

Protection experts have attacked FSA plans to scrutinise investment advisers selling protection after the RDR ban on commission.

Speaking at the protection review conference at the Marriott Grosvenor Square last week, Friends Provident chief executive Trevor Matthews said the FSA was wrong to be concerned about too much protection being sold.

He said: “There cannot be any serious consumer detriment by selling more life insurance, income protection and protection products. Everyone in this room should be arguing strongly not to extend adviser charging to protection products.”

Highclere Financial Service partner Alan Lakey called the FSA’s planned probe into protection sales “bizarre”.

Pru Protect director of protection Kevin Carr said: “If other advisory parts of the market are given encouragement to sell protection then that is something we would all welcome. I feel the intentions are misplaced.”

But Association of British Insurers assistant director of health and protection Nick Kirwan warned of another unintended consequence of the RDR.

“It may also go the other way where people say that because they have two different regimes of remuneration, they are not going to advise on protection at all. That would be really bad.”

Recommended

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    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

    Email: customerservices@moneymarketing.com