Pinnacle Insurance plc has taken a very positive stance on the FSA's statutory regulation of the sale and marketing of general insurance from 15th January, 2005. We respond both individually and also through our trade associations to FSA Consultation papers. Pinnacle Insurance will be seeking to extend its Part IV permissions from the FSA to include the sale and administration of general insurance.
Whilst the final rules are not yet available, we are able to see what the regulation is likely to look like. For some time now, we have been actively engaged in talking to our existing business clients and partners about exactly what needs to be in place to ensure they continue to sell general insurance post 15th January, 2005. We have produced a series of newsletters for our clients outlining proposed regulatory changes and also held many seminars and workshops, plus numerous single client meetings throughout the consultation process.
All of these will continue, as we strive to ensure that our clients fully understand the implications of the regulation and help them decide on their own regulatory status. Many of them, like Pinnacle itself, will already be regulated by the FSA for other parts of their business and will apply to extend their Part IV permissions. We believe this will be the case for the vast majority of our clients.
For those client firms that have no prior knowledge or experience of FSA regulation, there is a great deal of information to digest and consider before they are able to come up with the strategic position which suits them.
Pinnacle Insurance have not issued a blanket NO to appointing representatives, or any other status, to any of our clients. Agreeing an AR status for a client will depend on there being an indisputable and practical business case for doing so.
As stated before, Pinnacle have, and will continue to provide practical help to enable clients to decide which regulatory status best suits their business, to this end we have produced the "Pinnacle Proficiency" training and competency package especially for intermediaries.
Pinnacle FSA Position Statement
Friday, 5th December 2003