Biba has attacked the FSA's plans to scale back regulation in the personal lines sector.
The broker body said the proposals, part of the FSA's review of the ICOB rules, would favour insurers.
Biba said: "For those products not identified as 'personal protection products', the FSA are looking at removing areas of super-equivalence from their rules. This is likely to lead to a further unlevelling of the playing field as the FSA have greater latitude to remove rules on insurers."
Ths FSA is planning to categorise general insurance products into two broad categories - personal protection products and 'other' products - and to apply differing rules to each.
Steve White, Head of Compliance and Training, said: “BIBA is strongly of the opinion that it is in the best interests of both the consumer and the wider market in general that consumers receive the same suite of disclosures, regardless of their route to market.
“In the FSA's original proposals in CP160 (para 4.13) they stated that 'to avoid consumer confusion and to create a level playing field' the Government has decided to extend conduct of business regulation to insurers as well. BIBA supported that original proposal and we continue to do so.”
