View more on these topics

Move means end for GISC

Last week&#39s announcement by the Treasury that all insurance advice will become statutorily regulated sounds the death knell for the General Insurance Standards Council.

Both the Government and GISC have confirmed that the self-regulatory body will be phased out once the FSA takes over responsibility for regulating insurance advice in 2004.

The Treasury came to its decision after the European insurance intermediaries directive stated all insurance advice will have to be statutorily regulated.

IFAs are unlikely to regret the passing of GISC after earlier this year it tried to prevent its provider members from conducting business with non-member intermediaries.

Pensions & Investment Management principal Phil Moore says: “I am happy the GISC will no longer exist. The added membership costs were an unnecessary burden. I would hope that, because we are IFAs, the FSA will pay less attention to us than others, though.”

ABI head of media and political affairs Alan Leaman says: “We are supporters of GISC. It is doing a good job. There are already high standards in the industry and the Government has stressed this decision has not come about as a result of problems.”

Aifa director general Paul Smee says: “I suspect this was inevitable given European legislation. It will create a one-stop shop for IFAs, which is a step forward. The boundary between the GISC and the FSA was not well drawn.”

Recommended

Picturing 2001

In July, Bank of England economist DeAnne Julius&#39 published her long-awaited report into UK banking codes. The report criticised the Treasury for failing to regulate mortgage advice and called for the mortgage code to be strengthened. To the industry&#39s surprise, the Treasury has since handed the FSA responsibility for the regulation of mortgage advice and […]

Industry&#39s anger over FSA bonuses warning

The FSA is warning life offices to use prudence when determining annual bonus returns in what is seen by the industry as a bid to prevent another Equitable Life debacle.In a statement released this week, FSA managing director John Tiner said: “Companies should set bonus rates at levels that do not jeopardise payments to policyholders […]

Axa UK appoints new marketing chief

Axa UK is appointing former Royal & Sun Alliance head of cashplans John Bines to the newly created position of group marketing and services director.Bines will co-ordinate the marketing strategies of Axa Sun Life, Axa Insurance, PPP Healthcare and Axa Ireland. An Axa spokesman says: “He will co-ordinate the marketing strategies in the context of […]

CII names new HR boss

The CII has announced the appointment of Mike Orton as its new human resources director, having been promoted from HR manager.Orton&#39s new role will focus on aligning the Institute&#39s HR policies with its business strategies so it can retain and attract the best people to help it reach its objectives.He will be replaced as HR […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment