Following our report on the draft guidance published on 31 July, the FCA has published its finalised guidance on its expectations for insurance and card providers helping consumers claim money back.
The guidance which will be effective until 2 April 2021 applies to:
- insurance providers
- credit card providers
- debit card providers
- consumer organisations
The guidance essentially implements the earlier draft guidance save for the following clarifications/adjustments:
- the guidance now gives example questions that insurance firms could ask consumers to clarify where they have no prospect of making a section 75 claim;
- it clarifies the FCA’s expectations for card providers;
- it confirms that there is no one size fits all solution so firms should be flexible with consumers; and
- it provides more details on when it would be unreasonable for insurers not to pay (when a customer has exhausted all other options).