Insurers under investigation by the Competition Commission over the alleged "monopolisation" of the extended warranties market, are facing uncertainty after the Competition Commission revealed its inquiry is up to six months behind schedule.
Insurers under investigation by the Competition Commission over the alleged "monopolisation" of the extended warranties market are facing uncertainty after the Competition Commission revealed its inquiry is up to six months behind schedule.
Commission chairman Sir Derek Morris previously indicated that the inquiry would run about two weeks beyond its 1 July deadline. However, it is understood that the commission is officially requesting an extension until September from Patricia Hewitt, the Trade and Industry Secretary.
The commission is now expected to deliver its report in September.
In May the commission sent a letter to nine insurers, which outlined its proposals for the reform of the sale of extended warranties attached to domestic electrical goods.
At the time the commission said it believed insurers and retailers were selling warranties, "in a way which prevents, restricts or distorts competition, and that they are acting as a complex monopoly".
Nine insurers were named in the monopoly, including Allianz Cornhill; Aon Warranty; AXA Insurance; Domestic & General; Hitachi Credit Insurance; Landmark Insurance; Pinnacle; Retra Insurance Services; and Royal & SunAlliance.
