Complaints Policy

Under the FCA regulations each FCA Authorised Firm is responsible for handling complaints in respect of the regulated activities they carry out and also for reporting these complaints to the FCA on a six monthly basis. In order to be able to prove to the FCA that the company can properly carry out these requirements, each company should document their complaints procedure and ensure that it works in compliance with the requirements in practice and that it suits their business operations.

What is a FCA relevant complaint?

Any complaint made by a consumer about the performance of a regulated activity by the company. For example mis-selling, unclear policy documentation, incorrect claims handling.

Who is responsible?

The Authorised Firm who carries out that regulated activity. So, if mis-selling then the company who sells the product to the consumer, usually the dealer for example. If unclear policy documentation then the insurance company. If claims handling then the company who handles the claims.

Recommended Process to Identify Responsibility

Refer the complaint IMMEDIATELY to the insurance company, who will then assess who is responsible for the complaint, and importantly a complaint may have part responsibility for different issues resting with different companies as it may relate to mi-selling and unclear policy documentation within the one complaint for example. The insurer will then advise who they believe is responsible and within 5 working days of the first receipt of the complaint by the responsible company an acknowledgment must be sent to the customer to comply with the FCA rules.

Complaints Process Mapping

Establish and document a complaint’s process. A recommended process should involve each employee who could possibly receive a compliant from a customer to pass it on immediately to a designated named person or an alternate (allowing for holidays and sickness) who should then pass it to the insurance company immediately. If the complaint is then referred back to include the dealer as being partly or wholly responsible, then the designated complaint person should send an acknowledgement to the customer immediately. A template for the process mapping can be provided if required.

Time period & the FOS

The designated person then has a period of 8 weeks in which to resolve the complaint prior to the Financial Ombudsman Service (FOS) being entitled to arbitrate on the case, for which the company will be charged £600 per case win, lose or draw. Any FOS decision is binding on the company but not on the customer.

Complaint Recording

The date and type of complaint should be recorded, as should every action taken to resolve the complaint.

Complaint Reporting

Every six months the company must forward a summary of each complaint received to the FCA, including details of the date of complaint and date of resolution, what the complaint related to, whether it was justified and what action was taken. A template for this report can also be provided if required.

Please include your FCA Reg number and complaint to the your enquiry field.