The FSA may seem to be the main regulatory concern for the protection market at the moment, but othe...
The FSA may seem to be the main regulatory concern for the protection market at the moment, but other rules appearing on the horizon could mean insurers need to watch their backs even more closely.
As we discuss in this month's news pages, the consequences of a new European directive on gender discrimination could have serious implications for the market. If insurers are no longer allowed to price men and women differently, consumers could see premiums soar, while insurers will have to find surplus funds to cover possible miscalculations.
In addition, the Disability Discrimination Act, which comes into force this October, is having wide-reaching effects within the group market. It may be incentivising employers to provide cover for their staff, but it is also bringing changes to product design. The role of rehabilitation within group products is expected to gather momentum in light of the new rules and it seems likely insurers will also be forced to remove AIDS/ HIV exclusions from cover. Times are certainly changing and insurers will have to stay on their toes to keep ahead of the game.
Kirstie Redford, editor
