Product sales data: general guidance and retail investments FAQs

General guidance on products

Q: PSD only relates to new sales transactions. So the following transactions are not within the scope of PSD and do not currently need to be reported:

A: mortgage further advances;
    top-up premiums (on existing policies), increments or policy renewals;
    re-investments to an existing contract;
    future policy alterations such as converting a critical illness contract to a long-term care insurance contract in the future.

If your company only writes general insurance contracts, or is only involved in writing top-up business, effecting policy renewals, altering policies or providing further advances to existing mortgages, you will not need to report PSD.

In addition, firms closed to new business are also excluded from PSD reporting.

Q: Where can I find further guidance on the products covered by PSD, their definitions and the data fields to be reported?

A: Further guidance on the products and their definitions can be found in SUP 16.11 Annex 20G and in the Handbook Glossary.

The required reporting fields can be found in the relevant PSD001 to PSD005 data reference guides.

Please also see the PSD Data Reference Guide (pdf)

Retail investments

Q: Our firm is closed to new business although existing contractual commitments result in us writing some 'new' business such as increments, policies arising from options and new members of existing schemes. Does my firm have to report PSD?

A: Where a product was 'closed' for new business as at 1 April 2005, or where the new business from that date has been restricted to increments to existing business and new members to existing schemes where the expected number of new members is minimal arising from a passive sales process, the firm will not be required to include sales relating to this product.

Q: or Group Personal Pensions are we required to report information at group level or just the individual arrangements?

A: You only have to report the individual contracts.

Q: My firm provides Holloway contracts. Do these need to be reported?

A: Holloway contracts should be reported. We consider these sales to be most appropriately reported under the Retail Investments section, and the "other" product type code should be used for this purpose.

Q: Income Drawdown – can you confirm we only need to report this when the customer takes income drawdown, not when the original pension in sold or transferred in?

A: Yes. The current PSD reporting requirement only applies to the income drawdown element.

Q: If a product has been set up with a regular premium and a lump sum investment, how should we report this?

A: The TRS system will only allow you to report one type of premium per transaction. So if a product is set up with a regular and single premium, the regular premium transaction should take precedence.

Q: If a UK-authorised firm is selling products overseas do these qualify as UK sales (so are reportable) or overseas sales (and therefore non-reportable)?

A: We are primarily concerned about products sold to UK consumers. So if the firm is selling products to non UK customers they would not need to be reported.