The Financial Services Compensation Scheme (FSCS), paid out almost £175m to consumers in 2004/05.
Figures published in the FSCS's annual report, show that £113m was paid in compensation for claims relating to
insolvent insurance firms such as Independent Insurance and Chester Street.
Investment claims handled by the Scheme increased by
256%, largely due to mortgage endowments and precipice bond mis-selling. The amount of compensation paid for these claims rose by 293%, to just under £15m.
Loretta Minghella, Chief Executive of FSCS, said with regard to the report: "Last year was a challenging one for the Scheme as we experienced a large increase in claims and enquiries, particularly in relation to investments.
“We are streamlining our processes and reducing waiting times where we can, whilst controlling costs as much as possible for those firms that fund the Scheme.”
Hosted by comedian and actor Tom Allen, 34 Gold, 23 Silver and 22 Bronze awards were handed out across an amazing 34 categories recognising brilliance and innovation right across the breadth of UK general insurance.
