View more on these topics

Public mystified by disclosure details, says Pru’s life chief

Disclosure documents designed to protect consumers often leave them more confused, Prudential managing director of UK life and pensions Gary Shaughnessy has claimed.

He said Pru’s research found that much of what it is obliged to state in its literature to comply with regulation does not help consumers understand products better.

He said: “Most of the things we are required to put into communications by regulation, consumers find completely mystifying. It detracts from the information that is important. Communications should be based on outcomes from consumer research rather than lines you can point to and say, well, we did tell them.”

Financial Inclusion Centre director Mick McAteer believes the key facts about a product should be limited to a two-page document.

He said: “Information disclosure on its own or done badly can hinder effective decision making and add to regulatory costs.

“I have a theory that countless pages of documentation actually protects the rogues by giving them something to hide behind. It does not matter what you have in the small print, it is what the man on the street understands by reading the document.”



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