The 2009 Queen’s Speech includes several issues in which the insurance industry and its customers have an interest.
Maggie Craig, the ABI’s acting Director General, comments the speech :
Financial Services Bill
“We understand the need to legislate on the agreements made at the G20 and EU. However, this Bill should not be a catch-all for the wrong type of regulation. We should be wary of the principle that the state should set an individual’s pay package, not the market.
“The changes to the FSA’s powers on consumer redress are of profound importance, and we are alarmed this is being rushed through without proper consultation with industry. This is too important not to get right. We are also worried over moves to court- based collective redress. Pushing the UK toward a US litigation culture would create costs for consumers and businesses that far outweigh the benefits.
“We support today’s announcement to improve consumer knowledge of financial services. Insurers have long worked to develop the public’s financial education.”
Long-Term Care
“It is regrettable that the Personal Care at Home Bill undermines the Government’s own Social Care Green Paper, published as recently as July. That Green Paper set out a range of funding options for both at-home and residential care, but today’s announcement seems to undermine the funding options set out in it.
“The insurance industry wants to be part of the solution and deliver the best and most cost-effective long-term care. But this needs clarity and certainty from the Government, which piecemeal polices do not provide. We urge the Government to ensure that any new proposals include insurance industry involvement particularly as the Government’s own Insurance Industry Working Group report recently advocated this sort of partnership.”
Flood and Water Management Bill
“Managing the UK’s rising flood threat better is crucial for the five million properties at risk of flooding. It is also essential to ensure that flood insurance remains widely available. We welcome this Bill which should represent an overhaul in flood management, which we have long campaigned for. Its progress into law should be a priority.”
