CC is consulting on how to change the way firms sell retail Payment Protection Insurance (PPI). The consultation follows the provisional decision to ban most point-of-sale PPI. If it decides to continue to allow retail PPI (that relates to protection on repayments for shopping through home catalogues), it plans various safeguards, including:
- a duty to offer PPI separately from merchandise;
- a duty to provide key information on the cover in marketing materials and to provide information to the Consumer Financial Education Body (CFEB) as well as some information to other people that ask for it; and
- duties to remind customers of cancellation rights, provide customers that spend more than £50 on retail PPI with a written review of costs and a ban on single premium PPI and charges that have a similar economic effect.
Consultation closes on 3 September.