On 1 March 2018, the FCA published the second set of data in its general insurance value measures pilot containing data for 36 insurers (including both UK and EEA firms) for the year ending 31 August 2017. The value measures information is intended to provide consumer groups, firms and market commentators with additional indicators of value for a range of insurance products.
The pilot data covers claims frequencies, claims acceptance rates and average claim pay-outs. The products covered are home (buildings and contents) insurance, home emergency, personal accident and key cover.
The publication of value measures data was one of the remedies from the FCA’s general insurance add-ons market study, which found poor value in both add-on, and some stand-alone, products. The FCA also found that consumers, firms and other organisations found it difficult to assess value due to the lack of a commonly available measure of value.
The FCA has previously said that the pilot will run for a minimum of two years, with the possibility of a third set of pilot data for the year ending 31 August 2018. It will decide later in 2018 whether to undertake a third pilot.