April 21, 2017
The Financial Conduct Authority’s (FCA) investigation into the aviation insurance market has caused confusion in the sector about its intentions.
It was reported last week that the FCA began the investigation looking at five aviation brokers; this involved seizing IT equipment from JLT, Aon, Marsh, Willis Towers Watson and UIB.
Some of these insurers stated that the move by the FCA was regarding competition in the sector with particular attention given to the competition mandate launched in April 2015. Deb Jones, FCA director of competition said of the FCA’s investigation that they "will continue seeking breaches where they arise in the financial services sector, and step in quickly to take action if we need to".
The powers the FCA relate to regard anti-competitive arrangements between organisations such as price fixing or bid rigging, in the most extreme cases. It has been said that this particular investigation is centred on a breach of client confidentiality around data.