Biba has called on all brokers to help prove to the FSA that the market remains on top of contract certainty targets.
Brokers have been urged to provide the trade association with monthly updates on the number of commercial policies it has; the number of policies that have achieved contract certainty at in-ception; and the number of policies issued within the designated timeframe.
Peter Staddon, head of technical services at Biba, said: “I am still looking for more figures, as we go through 2007, to show at the end of the year that we are still consistently hitting these markers.
“The vast majority of the market is hitting them. One of the problems we have is getting the evidence to substantiate that fact.”
Staddon revealed that for the first three months of 2007 respectively, contract certainty was achieved in 93.4%, 95% and 93.7% of contracts in the non-subscription market.
This accounts for 60,000 policies each month from 200 operating entities.
Overall the latest figures show that 94% of contracts in both the non-subscription and subscription market remain above the 85% target set by the industry after the FSA challenged it in December 2004 to achieve contract certainty within two years.
The improved figure comes as the Contract Certainty Steering Committee (CCSC) published a code of practice designed to ensure policies continue to be fully agreed prior to coverage becoming active.
But, Staddon said issues such as ensuring all parties are aware of what is being purchased, acknowledging those policies that are in default and finding ways to address them and resolving issues surrounding policies subject to surveys or proposal forms remained a problem.
“We are never going to get to 100% because we are dealing with human beings,” added Staddon. “But, when you are hitting the sort of targets we are and consistently then it is telling you that we have got our fingers around the throat of this problem.”