Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether he has had recent discussions with insurance providers on taking steps to ensure that they meet the requirements set out in the Financial Conduct Authority policy statement entitled Increasing transparency and engagement at renewal in general insurance markets – feedback on CP15/41 and final rules and guidance, published in August 2016, reference PS16/21.

Treasury ministers frequently meet representatives of insurance providers, where topics of conversation include increasing transparency and engagement around insurance policy renewals. The Government welcomes progress in this area, including the more recent rules in the Financial Conduct Authority’s policy statement 21/5 which require that firms offer a renewal price that is no greater than the equivalent new business price for a new customer, as well as providing customers with a range of options to stop their policy from auto-renewing.

When the Financial Conduct Authority becomes aware of individual firm failings it follows up with those firms appropriately. It does not have evidence to suggest widespread non-compliance with these rules.