News

Insurance Distribution Directive

We have been asking for your views on our proposals to deal with the European Insurance Distribution Directive when it comes into force next year.

The Directive means that firms carrying on insurance distribution activities will need to change the way they work from 23 February. Replacing the Insurance Mediation Directive, the new Directive aims to strengthen protections in place for clients, such as improving the information they receive.

We have proposed changes to the Handbook to cater for these new requirements, and have asked for your feedback on our suggestions as set out in a consultation document. We believe our proposals meet the minimum requirements of the new Directive without putting unnecessary burdens you.

For example, in terms of the training requirements that the Directive imposes, our Code of Conduct already makes it clear that the profession should assess its needs and take action to make sure it provides a proper standard of service to clients. We have worked closely with the Financial Conduct Authority (FCA) as the primary regulator and they are happy with our approach.

Those of you working in personal injury, conveyancing or probate are most likely to be affected. For example, you might arrange after-the-event insurance in a personal injury matter or defective title insurance in a conveyance.

There may be other insurance products you advise on or arrange for their clients. All of you should therefore assess your own individual practices to see if the new Directive impacts upon you.

We will be writing to a number of you that indicated in your response to the Financial Services Activities questionnaire that you carry on insurance mediation activities. The consultation period draws to a close on Monday, 20 November.

Read the consultation document

National House-Building Council - working with conveyancers

Those of you involved in conveyancing are at the forefront of ensuring the purchase of a new build home is processed in a timely manner and this includes meeting obligations to ensure new home buyers receive details of their warranty and insurance policy before exchange of contracts. 

The National House-Building Council has produced the following for those who want to find out more about how it is working with the conveyancing community to meet new IDD requirements.

Go to the NHBC website