The BVRLA is urging the Financial Conduct Authority (FCA) to widen its market study into retail motor insurance pricing to include self-drive hire premiums.
The FCA’s study is part of a wider investigation into retail general insurance, aimed at ensuring competitive and fair prices for consumers. The BVRLA is arguing that SMEs are equally as vulnerable as consumers, and small rental companies in particular are bearing the brunt of some big increases in self-drive hire rental insurance.
BVRLA Chief Executive Gerry Keaney said: “We welcome the FCA’s focus on insurance pricing practices and will be more than happy to work with them as they embark upon this market study. We would however, like to see the scope of work expanded to include small and medium-sized businesses as they too are vulnerable when it comes to suffering the effects of unfair and discriminatory insurance pricing.
“Only two weeks ago, the FCA confirmed plans to extend access to the Financial Ombudsman Service to more small and medium-sized enterprises, which is a great indicator that the regulator is keen to also protect the interests of small businesses.
“BVRLA members are increasingly raising their concerns about unfair pricing practices where their premiums have drastically increased with little or no explanation – we believe we need greater transparency and competition in the motor insurance market.”
More details of the FCA’s market study can be found on its website. It plans to publish a final report by December 2019.
Read the press release here: BVRLA welcomes FCA’s focus on insurance market