Comparison Sites Under Fire

2014-03-29 14.35.37Despite the popularity of using a Price Comparison Website (PCW) to search for General Insurance, experts and the Financial Conduct Authority (FCA) have raised concerns over not just the compliance of the sites, but also their effectiveness in providing the right cover for consumers.

On the back of consumer research undertaken in 2014, the FCA have highlighted that “a focus on price could distract from crucial product features and lead consumers to make an inappropriate policy choice that does not suit their needs and requirements”. The research suggested that PCWs would actively avoid going into the required detail regarding product options, in order to maintain the perception of speed and ease, leading to an increased risk of client detriment. This assumption that PCWs offer quick and easy solutions to General Insurance is also under fire, with the FCA research revealing that many consumers found the volume of information and number of variables around GI products confusing and overwhelming.

Choosing an adviser over a PCW gives you access to expert advice, industry connections and the knowledge that they will find you appropriate and sufficient cover tailored to your needs. Advisers also now have access to tools like Paymentshield’s Premium Flex, which can reduce your premiums and bring down the cost of the policy. They can now deliver the best of both worlds: the perceived benefits of a comparison site, but with the peace of mind that comes from knowing you’ve made the right decision for your needs. Remember, your advisor works for you, not the insurer.

To find out more, contact one of the team at Harvey Bowes today on 029 2175 4150

About harveybowes
Mortgage Broker and founding Director of Harvey Bowes Limited. A mortgage broking practice with bases in Cardiff & Poole, UK. We take a fresh and positive approach to mortgage broking which pays dividends for both our clients and frankly, ourselves. The team at Harvey Bowes are expert advisors in all aspects of mortgages from residential to commercial and buy to let.

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