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The ABI (Association of British Insurers) today said that the results of independent research published by the Financial Services Authority (FSA). on Sandler products were encouraging.  But the Association agrees that more work has to be done to make sure that this sales process is safe for consumers.

It is also clear that decisions about price caps for Sandler products can only be made once the economics of the sales process are settled.

Speaking about the findings Mary Francis, Director General of ABI said:

“The insurance industry has been happy to help with this research.  It is important that our customers have confidence in the sales process for Sandler products, and we will continue to work with the FSA on the next stage of their research.”

Notes

The research published by the FSA was conducted by ORC International.  It is available at  www.fsa.gov.uk/pubs/consumer-research/crpr23.pdf

1.            Enquiries to:       

         Alan Leaman    020 7216 7440 (Mobile: 07957 482330)

         Emma Quantrill    020 7216 7392 (Mobile: 07712 841183)

         Malcolm Tarling    020 7216 7410 (Mobile: 07776 147667)

         Lucy Butler        020 7216 7411 (Mobile: 07712 841184)

2.   The research is based on the ABI supported option b (‘Guided Self Help’)  of the FSA discussion paper Options for regulating the sale of “simplified investment products”, published in Jan 03.

3.   The ABI is the trade association for Britain’s insurance industry. Its more than 400 member companies provide over 97% of the insurance business in the UK. It represents insurance companies to the Government, and to the regulatory and other agencies, and is an influential voice on public policy and financial services issues. ABI member companies hold more than a fifth of all investments traded on the London Stock Exchange, on behalf of millions of pensioners and savers.

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