The Principles for the Conduct of Car Insurance Business under the FSA

Choosing to purchase your next car insurance policy from an FSA regulated insurer has benefits both in the short and long term. The Financial Services Authority regulates companies in many different ways. One way is by providing each business with The Principles for the Conduct of Business under the FSA.

1. Integrity
A firm must conduct its business with integrity

2. Skill, care and diligence
A firm must conduct its business with due skill, care and diligence

3. Management and control
A firm must take reasonable care to organise and control its affairs responsibly and effectively, with adequate risk management systems.

4. Financial prudence
A firm must maintain adequate financial resources.

5. Market conduct
A firm must observe proper standards of market conduct

6. Customers' interests
A firm must pay due regard to the interests of its customers and treat them fairly.

7. Communications with clients
A firm must pay due regard to the information needs of its clients, and communicate information to them in a way which is clear, fair and not misleading.

8. Conflicts of interest
A firm must manage conflicts of interest fairly, both between itself and its customers and between a customer and another client.

9. Customer: Relationships of trust
A firm must take reasonable care to ensure the suitability of its advice and discretionary decisions for any customer who is entitled to rely upon its judgement.

10. Clients' assets
A firm must arrange adequate protection for client's assets when it is responsible for them

11. Relations with regulators
A firm must deal with its regulators in an open and co-operative way, and must disclose to the FSA appropriately anything relating to the firm of which the FSA would reasonably expect notice.