The future of insurance regulation

The FSA has carefully introduced the idea of differentiating its regulatory approach for general insurance, reserving stricter rules for protection products and loosening the reins for other, low risk products. In this article, Nathan Willmott and Polly James of Berwin Leighton Paisner say the proposals fit with the FSA’s wider regulatory philosophy but there are several issues that still need to be ironed out

During the summer the FSA published for consultation its draft Handbook text for the new Insurance Conduct of Business Sourcebook, which is intended to replace the existing ICOB sourcebook in its entirety with effect from January 2008. The FSA’s provisional name for the new sourcebook is “NEWICOB” although when it comes into force it will become known as “ICOBS”.