CP17/33: Insurance Distribution Directive implementation – Consultation Paper 3

Open consultation: CP17/33
Consultation closes
Policy statement: PS18/1

We are consulting on our latest proposals for changes required to comply with the Insurance Distribution Directive (IDD).

Show CP17/33 (PDF)

This consultation follows on from CP17/7 and CP17/23 with further proposals on how we plan to implement the IDD in the UK. The IDD replaces the Insurance Mediation Directive. It aims to enhance consumer protection when buying insurance (including general insurance, life insurance and insurance-based investment products) and to support competition between insurance distributors by creating a level playing field.

This consultation paper covers changes to our rules to reflect the requirements of the IDD delegated acts, relating to:

  • for life insurance distribution business:
    • inducements requirements for IBIPs (Chapter 4)
    • suitability and appropriateness requirements for IBIPs (Chapter 5)
    • disclosure requirements for IBIPs and mandatory occupational pensions (Chapter 6)
  • for all insurance distribution business, including life and non-investment business:
    • conflicts of interest (Chapter 7)
    • product oversight and governance (Chapter 8)
    • changes to the Perimeter Guidance (Chapter 9)
    • regulatory processes (Chapter 10)
    • additional changes, including consequential amendments, to other parts of the Handbook (Chapter 11)

Who this applies to

This consultation will interest firms (including insurance and reinsurance companies, and insurance intermediaries), customers in the insurance market, and bodies representing these groups. It will also be of interest to designated professional bodies whose members conduct insurance distribution activities.

What you need to do

Please send us your comments on CP17/33 by 25 November 2017: 

You should read CP17/33 together with CP17/23. If you want to respond to CP17/23 please do so by 20 October 2017.

Online response form for CP17/33 

You can also:

  • email [email protected] or
  • write to: Robert Robinson, Insurance Policy, Financial Conduct Authority, 25 The North Colonnade, London E14 5HS

Next steps

We will publish feedback on responses and issue a Policy Statement once we have reviewed your comments in January 2018. 

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