Just as the flogging of old rope is generally frowned on these days, sales of the vast majority of legal expenses insurance (LEI) policies currently on offer to unsuspecting members of the Great British public may soon be attracting similar opprobrium.
Word has reached Bankstone News’ lovely lugholes of late that LEI could well be the next PPI. Now that the time limit on pursuing claims for miss-sold payment protection insurance policies has finally elapsed, legions of claims wranglers who might otherwise be standing idle could soon be going after purveyors of less-than-value-added LEI products – not least those products less than perfectly configured to perform strongly in a post-CLA universe.
In the context of the FCA’s ongoing war on add-ons, the kind of underwhelming LEI policies that brokers buy for pennies and flog on for pounds could soon find themselves spotlit in the most unflattering of lights. With the RTA-afflicted now effectively on their own in their injured hour of need, those without LEI may be sensing its want, while those with under-performing policies may be feeling aggrieved.
So, if you feel you might be in any way associated with the purveyal of an LEI policy that is less than fully fit for purpose (FFP), now might be a good time to review your options. The FCA takes a dim view these days – not just of any perceived failure to treat customers fairly – but, in particular, of any down-letting of customers of the vulnerable variety.
And, let’s face it, persons recently injured in a motor RTA might not unreasonably be deemed at least a tad vulnerable, simply by dint of that circumstance, on which basis, their brokers might want to reflect on their duty to minimise that vulnerability, rather than find themselves accused – perhaps not altogether unjustly – of having exacerbated it through their failure to provide appropriate LEI.
If you’re anything less than 110% confident of the quality of the LEI policies you’re selling, you really should get in touch with those extremely helpful and knowledgable people at Bankstone – and they’ll be able to sort you out with a FREE assessment and/or the chance to switch to something that’s fully FFP.