FCA urged to investigate insurance 'poverty premium'

Within Social Market Foundation report

John Brazier
clock • 3 min read

A new report from the Social Market Foundation (SMF) has urged the Financial Conduct Authority (FCA) to investigate the challenges families in poverty face when paying insurance premiums.

The Insurance and the Poverty Premium report, published on 12 March, surveyed 1,537 adults in June last year in the UK living in households with equivalised low income below 60% of median. Assessing responses to a range of insurance products, including life insurance, SMF over half (55%) of people living in poverty are struggling to afford the price of premiums amid the cost of living crisis. As insurance becomes increasingly unaffordable, more people are facing a ‘poverty premium' meaning they face higher prices due to factors beyond their control and are more likely to cancel cover ...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Individual Protection

Probate delays jump 65% for year-long cases

Probate delays jump 65% for year-long cases

Cases taking over six months rose 112%

Jaskeet Briah
clock 23 April 2024 • 2 min read
Six in 10 claims handlers want to develop technological skills

Six in 10 claims handlers want to develop technological skills

Sprout.ai research shows

Jaskeet Briah
clock 22 April 2024 • 3 min read
AFM members pay out £70m on IP claims in 2023

AFM members pay out £70m on IP claims in 2023

Claims for musculoskeletal continue to rise

Jaskeet Briah
clock 17 April 2024 • 2 min read