Now's the time to carry out a gap analysis, says Branko Bjelobaba
Updated figures just published by the FSA show that 9,220 firms have applied, so far, for authori-sation. Of these, 5,049 were from the primary market and 4,189 were from the secondary market. In addition, 4,227 applications for variation have been received.'Minded to authorise' (MTA) letters have now been sent to 7,927 firms.But if you are one of the many firms that have had your MTA letter don't sit back and think it is all over. Now is the time to ensure that your business will be compliant with the FSA handbook as from 14 January 2005. Scope of permission notices (SPNs) will follow from mid-November for firms that only conduct general insurance business. What do you need to think about now? Have you carried out a gap analysis, which will show you what needs to be done? Do you know how to? If you think of the exercise just like a car's MOT test it will be a lot easier to manage. Let's assume two fundamental parts - the business and the customer. I will cover a few points here, but this is by no means an exhaustive list. For a car to pass its MOT all checks have to pass - not one bit can fail. If one bit fails then all of it could fail.
The businessThe FSA requires that all businesses are compliant with its high-level standards, which include:
There are other things to look at: