ICOBS 4.2 Additional requirements for protection policies for insurance intermediaries and insurers

This section applies in relation to a pure protection contract or a payment protection contract for a consumer.

1. (1)

   In a sale that does not involve a personal recommendation, a firm must take reasonable steps to ensure a customer (C) understands that C is2 responsible for deciding whether a policy meets C’s2 demands and needs.

2. (2)

   [deleted]2

3. (3)

   If a firm anticipates providing, or provides, information on any main characteristic of a policy orally during a non-advised sale, taking reasonable steps includes explaining the customer's responsibility orally.

4. (4)

   A policy's main characteristics include its significant benefits, its significant exclusions and limitations, its duration and price information.

1. (1)

   Prior to the conclusion of an initial contract and, if necessary, on its amendment or renewal, an insurer must disclose to the customer at least:

   1. (a)

      the statutory status disclosure statement (see GEN 4);

   2. (b)

      whose policies it offers; and

   3. (c)

      whether it is providing a personal recommendation or information.

2. (2)

   [deleted]2