The Association of British Insurers (ABI) is keen to work with the government, regulators and consumers to develop the with-profits principle, it has said. The ABI was responding to the recent Consumer Association's report on with-profits policies.

ABI director general Mary Francis said insurers agreed that consumers should receive all the information they needed to choose the right form of saving.

“The insurance industry has launched a new quality mark scheme, which provides policyholders with information about charges and about the way with-profits funds are run,” Francis said.