FCA cracks down on MGA for unfair fees

thumbs down

The Financial Conduct Authority cracked down on an MGA with contract wordings that would have allowed it to charge a fee to customers for not renewing.

The FCA, in a public notice, said Policy Excess Insure Limited had an automatic renewal term that ‘purported to allow the firm to charge consumers with an administration fee for not renewing the policy’.

‘Unfair’ renewal fees

Publishing the details of the firms failures on its website, the FCA said Policy Excess Insure, trading as Nova Direct, had terms on its website that allowed it to charge customers £4.99 if they opted out of the contract seven days before renewal.

Furthermore, there were

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@insuranceage.co.uk.

You are currently unable to copy this content. Please contact info@insuranceage.co.uk to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Insurance Age? View our subscription options


Sign up and gain access to five complimentary news articles every month.

Already have an account? Sign in here

This address will be used to create your account

Arch goes live on Applied

Applied has confirmed that Arch Insurance has launched a specialist property owners insurance product on its commercial e-trading panel.

Biba 2024: FCA to take its time on transparency proposals

Emily Shepperd, chief operating officer of the Financial Conduct Authority, has said the regulator was “overwhelmed” at the response and amount of feedback to its transparency proposals, and that it is going to “really take our time” when considering any possible next steps.

You need to sign in to use this feature. If you don’t have an Insurance Age account, please register now.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: