The original measures were brought in this May
The FCA is proposing an extension to measures aimed at helping insurance customers facing financial difficulties due to Covid-19.
In May, it brought in a series of measures that insurers should adopt, including premium payment deferral, premium reductions due to an updated risk profile and alternative products “that better meet customer needs”.
The regulator is proposing another three-month extension of the measures until the end of October this year.
”Where amendments to the insurance cover do not help alleviate the customer’s temporary payment difficulties, firms will be expected to grant a payment deferral of between one and three months, unless it is obviously not in the customer’s interest to do so”, it said.
The FCA stressed it was important that customers ”don’t leave themselves uninsured and that their insurance cover meets their demands and needs”.
”Those struggling to afford their insurance or premium finance payments because of the impact of coronavirus should contact their insurer or insurance broker to discuss their options”, it added.
The extension is open to consultation and industry submissions need to be made by 5pm on Tuesday.