The Association of Financial Mutuals (AFM) has welcomed the FSA's exemption of Holloway protection products from the Retail Distribution Review (RDR) but said the ‘limited' concession does not go far enough.
The FSA today proposes income protection plans with a 'small' investment element, better known as Holloway policies, should be exempt from the RDR's adviser charging and professionalism rules.
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The UK's largest ICOBS adviser has applauded the FSA's plan requiring advisers to review protection sales methods.
The FSA has ordered firms selling pure protection and PPI plans to review their sales policies and compliance procedures after finding "disappointing" oral disclosure practices by some firms.
Protect is holding a payment protection insurance (PPI) complaints workshop aimed at explaining the impact of the FSA's upcoming policy statement.
Income protection insurance sales will increase in importance as a result of FSA scrutiny and the Spending Review the Income Protection Task Force (IPTF) has said.
Critical illness (CI) sales scripts are ready for implementation by the end of the year following approval from the FSA and Association of British Insurers (ABI).
The FSA has proposed changes to its complaints handling procedure as it reveals pure protection grievances continued to grow in the first half of the year.