Demand for new approach to insurance broker regulation

BIBA prepared and submitted a formal two-part response – based on the comments of a cross-section of members. BIBA responded to the questions in the consultation paper and additionally provided a paper providing both quantitative and qualitative comments on the current FSA regime.

Putting the response into context, Eric Galbraith, BIBA Chief Executive, said:

“Insurance brokers pose a low risk to the objectives of the Consumer Protection & Markets Authority and care should be taken to ensure that the new regime leads to appropriate and proportionate regulation of our profession. Treasury must now take this opportunity to lay down the foundations for a regulatory environment designed for our profession.

“The regulatory cost burden in the UK is significantly higher than anywhere else in Europe. A competitive and healthy insurance intermediary market is in the national interest and so the issue of cost must be taken seriously.”