FCA confirms ban on price walking from 2022
You may have seen that on 28th May 2021 the FCA published its paper on pricing rules in the GI Market. This follows several years’ work from the regulator to address the harms suffered by loyal customers of home and motor insurance providers.
The most prominent change that the FCA brings in is that firms will no longer be able to slash new business premiums in order to attract new customers, only to penalise them in subsequent years with hugely inflated prices which bear little resemblance to the actual cost of providing the policy. This unfair profiteering has become known as ‘Price Walking’ and it will be banned from the start of 2022.
Uinsure have never undertaken the practice of price walking and taken this moral standpoint ever since our inception in 2007.
This strategy has been under pressure given the nature of a very competitive market, but our practice and offering has remained consistent regardless. Our business ethos is to act with transparency and always treat customers with complete fairness – this is why customers who have purchased a Uinsure policy are always offered a new business price at renewal.
