Housing: Locks and Keys
The question
To ask the Chancellor of the Exchequer, whether she has made an assessment of the potential impact of differing requirements imposed by insurers for key‑safe equipment, installation and compliance on barriers to switching providers and levels of competition in the home insurance market.
Answered by Rachel Blake
Insurers make decisions about the terms on which they will offer cover following an assessment of the relevant risks. The Government has not made a specific assessment of domestic key safes and generally does not intervene in the commercial decisions of insurers as this could damage competition in the market.
The Government is determined that insurers treat customers fairly and firms are required to do so under Financial Conduct Authority (FCA) rules. The FCA’s Vulnerability Guidance defines vulnerable customers as those who may be especially susceptible to harm if a firm does not act with appropriate levels of care and requires firms to identify vulnerable customers and to consider the needs of these customers appropriately. This includes ensuring they provide products that are fair value to consumers and clear communications which are fair and not misleading. The FCA has robust powers to act against firms that breach its rules.
The Government would always recommend consumers shop around to find the most suitable cover at the best price. The British Insurance Brokers’ Association can offer customers guidance on looking across the insurance market for suitable products and may be able to provide names of specialist brokers.
Verbatim has judged this answer against the question that was actually asked — answered, partly answered, or evaded. Sign in to see the verdict →