Verdict out on insurance comparison websites
A Financial Services Authority (FSA) review of British insurance comparison websites has found most sites are improving but some still have a way to go.
The FSA discovered significant improvements and consistently clear and fair advertisements on many but says some firms showed a lack of clarity in the terms used.
It says they need to obtain better information from insurers about the levels of excess that apply to insurance policies and clarify assumptions about consumers’ needs and circumstances used to obtain quotes.
Director of Retail Policy and Conduct Risk Dan Waters says the FSA is asking some firms to take prompt action to address these concerns.
“It is imperative that comparison websites provide clear information so that consumers can make informed decisions,” he said.
The FSA discovered significant improvements and consistently clear and fair advertisements on many but says some firms showed a lack of clarity in the terms used.
It says they need to obtain better information from insurers about the levels of excess that apply to insurance policies and clarify assumptions about consumers’ needs and circumstances used to obtain quotes.
Director of Retail Policy and Conduct Risk Dan Waters says the FSA is asking some firms to take prompt action to address these concerns.
“It is imperative that comparison websites provide clear information so that consumers can make informed decisions,” he said.