Regulation costs three times more in UK than rest of EU
The British Insurance Brokers’ Association (Biba) has made the first real attempt since regulation was first applied to general insurance brokers to quantify just what it costs for brokers to remain compliant.
The trade body commissioned research from Charles Rivers Associates and London Economics to try to get a grasp of how proportionate the regulation that brokers labour under is and the research threw up three main points.
Firstly, the research found that the risk brokers pose is limited – it noted the potential for low quality advice resulting in the mis-selling of products and the potential for loss of client money. Secondly, that the direct and indirect cost of regulation for brokers in the UK
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