Under the proposals, lenders would be banned from selling PPI to borrowers within 14 days of them taking out a loan.
The commission says it would give consumers more time to compare alternative products. However, the ABI says the move would leave millions of consumers unprotected.
Nick Starling, the ABI's director of general insurance and health, said: "This is devastating news for consumers. By effectively denying consumers PPI in the very economic climate that they need it most, the Competition
- Ghost broker jailed for two years
- Up to 275 jobs at risk at Axa XL in the UK
- Legal Protection Group confirms loss of Inter Hannover capacity
- Towergate’s Andy Parkin resurfaces at Gauntlet
- Consolidation opens up opportunities, says Romero boss
- Laurent Matras takes interim Axa retail MD role as Gareth Howell departs
- Profits up at Allianz in 2018