UK watchdog bans default selling of additional general insurance
Wednesday, 09 30 2015, Category: Insurance and Reinsurance, Country: United Kingdom
The Financial Conduct Authority said on Monday it was banning default selling of additional products under general insurance cover, which require customers to opt out if they do not want to buy the extra products.
The FCA said that, currently, customers might buy "optional extras", like separate baggage cover on a travel policy, or accidental damage on a home insurance policy, without realising they were doing so.
"There is potential for harm to occur," it said in a policy statement following consultation with the industry.