FSCS pledges to target insurers in 
the wake of High Court PPI ruling

The Financial Services Compensation Scheme’s (FSCS) confirmation that it will pursue recoveries from insurers involved in the mis-selling of payment protection insurance (PPI) has triggered debate over where the responsibility for the whole debacle really lies.

The decision comes in the wake of the High Court ruling against an appeal by the British Banker’s Association in relation to its members’ liability for the mis-selling of payment protection products.

The British Insurance Brokers’ Association (Biba) has called for insurers who sold PPI through credit brokers to be held accountable for their actions but Mike Cranny, a regulatory compliance consultant, has argued that it is the relationship between insurers and the banks that is at the heart of