It’s time to look ahead to 2026, with these insights on FCA regs on vulnerable customers from Sarah Durkin, Head of Counter Fraud, Woodgate & Clark
The FCA’s decision to simplify complaints reporting by consolidating multiple returns into one, moving to a six-monthly cycle and, crucially, requiring firms to flag complaints from customers in vulnerable circumstances represents a watershed moment for the insurance industry.
This regulatory shift offers a unique vantage point. As third-party specialists routinely handling property and casualty claims on behalf of insurers, we are often the first professionals to assess damage, coordinate with claimants and negotiate settlement values. The FCA’s enhanced oversight means insurers will now face greater scrutiny on outcome fairness, timeliness of settlements and consistent treatment, especially for vulnerable customers.
We are well positioned to comment on how adding an extra layer of independence can help insurers meet regulatory and reputational standards, while ensuring all claimants receive appropriate support and fair valuation.
Meeting the needs of vulnerable customers is essential to us all at Woodgate & Clark. I recently hosted webinars with the CII and joined the CII Journal Podcast to cover the subject of vulnerability in claims. As loss adjusters, around 60% of claims referred to our counter fraud team now involve vulnerable customers, this is a significant leap. We’re also seeing the rise in fraud cases involving dementia firsthand
With the drive for better data quality and root-cause analysis of complaints, this is an ideal moment to emphasise how rigorous claims-handling standards and detailed reporting can reduce the frequency of disputes and complaints, benefiting both insurers and customers.
As the FCA raises the bar on complaint management and vulnerable-customer protection, the demand for impartial, expert claims evaluation will rise.
Be the first to comment