The Code Governance Committee has widened the scope of an inquiry into general insurance outsourcing to include claims investigation practices and policies, says the Financial Ombudsman Service (FOS).

The committee, which is independent but supported by FOS, announced earlier this year that an “own-motion inquiry” would examine how general insurers comply with code obligations on outsourced debt collection and claims functions.

“The code team rolled out the committee’s expanded inquiry to participating code subscribers and consumer advocates during June and we expect to receive responses [this month],” the latest FOS circular says.

Own-motion inquiries take an “evidence-based, proportionate and practical” approach to providing guidance for code subscribers seeking to improve service standards and compliance.

“These own-motion inquiries allow us to share our experience of code compliance and encourage good practice when we have identified areas for improvement,” FOS says.