Conduct of business

Insurance—conduct of business

On 6 January 2008, the FCA’s predecessor, the Financial Services Authority (FSA), brought into force the Insurance: Conduct of Business Sourcebook (ICOBS), replacing the Insurance: Conduct of Business Sourcebook (ICOB). The principal change introduced by ICOBS was to move away from prescriptive rule-based supervision of firms towards a principles-based or outcome-focused methodology.

Treating customers fairly is a fundamental principle underpinning the FCA regulatory regime. It is embodied in Principle 6 of the FCA’s Principles for Business, which states that ‘a firm must pay due regard to the interests of its customers and treat them