Link(s): https://www.fca.org.uk/publication/handbook/handbook-notice-89.pdf
Context
In its Handbook Notice 89 the FCA has confirmed that the new disclosure rules for premium finance contained within the Pricing Practices Policy Statement have been moved back to 1st January 2022 to be in line with the main price walking rules.
Key points to note
- This gives firms and their premium finance providers a further three months to comply and implement the new disclosure rules.
- In the Handbook Notice the FCA stated that adjusting the entry into force date of the premium finance disclosure rules is a correction to reflect the policy intention as announced in March 2021.
Next actions
To comply with the new rules firms will need to provide retail customers with clear information, and draw their attention to it, regarding the impact the premium finance and its costs will have on the overall cost of the policy, as compared to paying for the policy up-front in a single premium.