Competition Commission changes that everyone anticipated are now in effect and brokers should be confident that they understand their implications when selling products to customers.
If the industry doesn’t understand these changes, it’s unlikely there will be confidence in explaining them to customers – which could lead to more distrust of the protection market.
Is this the case? I don’t think so. Consumers are now given a period of seven days from the mortgage sale where protection products, such as mortgage payment protection, cannot be sold to them.
I don’t understand why this could be a bad thing. Allowing customers to review their policy and have the time to research the benefits of a quality product means they will be 100% happy.
Also, consumers will receive an annual statement detailing their policy and its benefits, which is an opportunity for brokers to revisit clients to reassess their needs.
Reviewing products against needs means quality not just for customers, but also for the credibility of our industry after the payment protection insurance scandal. Showing transparency and educating customers is the key to keeping this market moving.