We welcome the effort that the FCA has put into the TR16/2 review - focusing on good customer outcomes has always been important for well-run life insurers, and we agree with the FCA that it is important that all customers should be considered throughout the duration of their policy.
With-profits business has been a major part of the UK life insurance market for many generations. It remains a critical component of many insurers’ existing and new business despite regular ill-informed criticism and reports of its imminent demise.
The FCA issued Thematic Review TR16/2, 'Fair Treatment of long-standing customers in the life insurance sector' on 3 March 2016. The work by the FCA in this area has the scope to have considerable impact on the industry as a whole.