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FSCS increase condemned by AMII

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The Association of Medical Insurance Intermediaries (AMII) condemns the proposed 57% increase in this year’s Financial Services Compensation Scheme (FSCS) levy on its members as unfair, excessive and totally inappropriate.

Andrew Tripp, Chairman of AMII said: “This increase is on top of a massive eight-fold increase last year and is mainly a result of compensation payments for PPI (payment protection insurance) misselling. As almost all AMII members never sold any of these policies, it is unfair that they are footing the bill on an equal basis.  This huge increase has come out of the blue totally and will have a serious impact on many intermediaries.”

AMII believes the FSA should review and address the funding of the FSCS immediately and not leave it for another year as has been suggested because the financial damage to smaller intermediaries could have a serious impact on growth and jobs.  “The substantial rises in regulatory costs over the last two years could cause some intermediaries to leave this market altogether, reducing consumers and businesses access to independent specialist advice on private medical insurance” added Andrew Tripp.

Source : AMII Press Release