FCA to investigate poor claims management practices

Looking into CMCs and law firms

Jenna Brown
clock • 3 min read

The Financial Conduct Authority (FCA) is to review the claims management market and investigate if consumers are being failed by some claims management companies (CMC) and law firms.

The regulator is hoping that the review will uncover the root causes of poor practices across the market, it said today (6 May). The investigation will look at the use of aggressive marketing, misleading advertising and unfair exit fees, it said.  "Other concerns include consumers being signed up without their consent – without clear, upfront explanations of the implications of signing up or ticking a box, for example on social media adverts – or by multiple representatives, potentially causing confusion and delaying compensation," the watchdog added. The FCA said motor finance cla...

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