The Financial Conduct Authority’s (FCA) review into annuity mis-selling could be the next payment protection insurance (PPI) scandal, with insurers facing a similar number of claims that hit banks over the last few years brought on by claims management firms, Scottish Widows has warned.
Earlier this month the FCA launched a review into annuity sales. It will look into life company’s contracts with customers and will focus on whether clients were mis-sold regular annuities instead of enhanced annuities.
The regulator will publish a report in the first half of 2016 and if mis-selling is found providers may be asked to compensate clients. Read more at City Wire