On 27 July 2022, the FCA published a final rules and guidance Consumer Duty Policy Statement that would set clearer and higher expectations for firms’ standards of care towards consumers.
In recognition of the barriers that many consumers face to pursuing their financial objectives, the FCA wants to see firms deliver a higher standard of customer care and protection and go further to equip consumers to make effective decisions in their interests.
The policy is comprised of a Consumer Principle defining overall standards, three Cross-Cutting Rules defining an expected structure of behaviours, and Four Outcomes that all consumers should expect:
The FCA has set the following deadlines for regulated firms:
- Oct 2022: Firms must have a plan for compliance compiled.
- Jul 2023: Firms must be able to evidence compliance vs new and existing products and services.
- Jul 2024: Firms must be able to evidence compliance vs closed-book products and services.
How FourthLine can help
The path to Consumer Duty compliance requires all regulated firms to undertake detailed documentation of all decisions made together with recommended actions. FourthLine can help by being your trusted support partner.
Enquire here to find out more about our support partnership programme
Topics: Insurance Sector
