Select committee: Financial Services Regulation Committee

Conclusion 12

2nd report - Home and travel insurance regulation: more for the FCA to do Published 23 Oct 2026 Paragraph 63
Conclusion (the committee's words)
Outsourcing and cash settlements are not inherently harmful to consumers, and indeed can come with benefits. However, it is clear that they carry a risk of poor practice, and the FCA itself acknowledges that these are areas of concern in claims handling.

From: Financial Services Regulation Committee, 2nd report - Home and travel insurance regulation: more for the FCA to do, paragraph 63, 23 October 2026

Government response

Government response awaited: deadline 23 December 2026.