Cila-ABI working party identifies key benchmark areas
The Cila/ABI working party tasked with drawing up guidelines for a new claims code has met for the first time.
The working party, which includes representatives from Norwich Union (NU), Cunningham Lindsey, GAB Robins, Ecclesiastical and NFU, was established after the Treasury ruled that loss adjusters would not be regulated by the FSA.
The aim of the working party is to reach agreement on industry-wide claims standards in order to ensure that loss adjusters do not have to meet different sets of standards for different insurers.
The working party will also look to establish benchmarks by which loss adjusters can measure their success in meeting the standards.
At the inaugural meeting, the working party identified the key areas on which it will focus when drawing up the new claims code. They are:
A draft committee has been formed that will spend the next month creating a platform document which will be presented to the working party in September.
NU director of claims public affairs David Hooker, who chairs the working party, said: "Irrespective of FSA regulation, it makes good sense to put together an industry best practice guideline."
He added that a new claims code would also ensure that there was not a "proliferation" of standards.
"The industry also has to ensure we can evidence we are meeting these standards," said Hooker.
A Cila spokesman said: "We have to provide assurance to insurers, on behalf of our members, that we are compliant and that action can be taken against our members who are not."
In June of this year, the Treasury ruled that claims handling by intermediaries on behalf of insurance companies, expert appraisal and loss adjusting would not be regulated by the FSA.