Financial services industry delving into data: the new consumer duty across insurance, asset and wealth management
Consumer Duty: What’s Really Changing for Consumer Protection?
On the surface, the Consumer Duty doesn’t appear to add a great deal to existing guidance around consumer protection. Businesses that fall within the remit of the Duty – those that provide retail financial services – can therefore be forgiven if their approach is to take a “business as usual” approach.
In our previous article, we identified the key role data and analytics would play in this ‘paradigm shift’ in the FCA’s approach to regulation.
As we delve in deeper into why the transition matters, this 2nd edition article highlights the four separate areas the Consumer Duty spans across, addressing the question that is on the minds of many – What is really changing for consumer protection?
Download the full article to discover more on:
- Products and Services
- Price and Value
- Consumer Understanding
- Consumer Support
Delving into Data: The New Consumer Duty across Insurance, Asset and Wealth Management
The UK Financial Conduct Authority (FCA) unveiled new rules this year aiming to improve how financial institutions treat retail customers in a sector now worth some £170 billion – a move it called a “paradigm shift” that marks a return to outcomes-based regulation.
Much has been written about the Consumer Duty, but an important aspect to hone in on is the role data and analytics can play in the successful implementation of the duty. In this paper, we look at:
- What prompted the introduction of the Duty and what it means for insurers, asset managers, and wealth managers
- How data can be leveraged to successfully comply with the Duty’s requirement to “monitor and evidence”
- Practical guidance for businesses looking to either start their data journey or enhance their existing data strategy
Businesses don’t have much time to act; all retail financial services must be compliant by 31 July 2023 for existing and new products, and by 31 July 2024 for closed products. However, it’s not too late. A rapid data assessment can provide business leaders with a clear understanding of gaps against the Consumer Duty requirements and provide specific immediate actions.
A&M Financial Services team identifies rapid data assessments that can provide businesses with a clear understanding of gaps against the Consumer Duty requirement across the four key areas: customer support, customer understanding, products and services, and price and value. Download the full article.
