Gocompare.com says regulator is prudent to review its position
Gocompare.com, the insurance comparison site, has welcomed the FSA’s decision to examine the rules governing websites that compare insurance products.
Hayley Parsons, managing director, said, “We welcome the FSA looking again at the rules. We have discussed this before with the FSA and are more than happy to work with them on this. From the start we opted for full FSA registration and authorisation as we felt it was in the best interests of the consumer.
"Our mission has always been to find customers the right product at the right price. Our approach is to give people all the information we can on the product, the cover and the price and let them probe the results, re-order them and interrogate them."
“In our view, comparison sites represent a huge leap forward in terms of transparency and, as a result, consumers are making more informed decisions than ever before. Perceptions generally about comparison sites are about two years out of date. Since 2005 when the FSA last looked at comparison sites and decided that the regulations were fine - things have changed, and they are all changes for the better.
“The market has matured quite considerably and all the major players in the insurance comparison market are now:
• regulated by the FSA
• providing full quotes (not ‘fast quotes’ or estimates) based on accurate information and not assumptions
• Providing more than just premium information. Consumers using comparison sites have access to more information than through any other channel.
“If there is a reason to review the market it is only because millions of consumers are now using the sites every day and it is prudent of the FSA to review its position. Customers are switching to comparison sites because they are the most effective way of checking the market, seeing their renewal quote in some kind of context, in a way and at a time that suits them.
"And they are saving big money. Just last week the AA highlighted the difference between the average motor insurance premium and (what they call) the ‘shoparound rate’ which is the average of the three cheapest rates. It is currently over £200.”
