Find out how Insurers have a duty to provide information to the FCA under Part 3 – Section 11 of the Civil Liability Act 2018[1] (the Act). This is so The Treasury (HMT) can determine the effect that change to the law under the Act has had on motor insurance premiums.
The subsequent Civil Liability (Information Requirements) and Risk Transformation (Amendment) Regulations 2020[2] (the Regulations) set out which insurers will be in scope, and what information they must provide.
The Regulations further mention that the information provided under the Act ‘must be clear, concise and made in such a form as the FCA may direct.’
The data provision covers three annual periods starting 1 April 2020 and finishing 31 March 2023. The Act specifies that the data needs to be submitted to us as a single return by 1 October 2023.
We intend to send out a Qualtrics Survey to all relevant insurers in September 2023, which will enable them to either:
- inform us that they are out of scope
- or provide the required information if they are in scope
You can view the format of the survey in this template[3]. This template has been designed in line with the Act and the Regulations. It was updated on 25 August 2023 following our further engagement with the Association of British Insurers (ABI) and the Institute of Chartered Accountants in England and Wales (ICAEW).
It is for insurers to interpret the Act to comply with the requirements under it. We have provided a suggested methodology which firms can follow for the counterfactual data in addition to, a prescribed format for the submission of the factual data. The template is not designed to cover every eventuality or nuance.
The ABI told us its members will require more time to respond to the survey. We have therefore agreed to extend the deadline for the single return to 31 October 2023.
We have also prepared a document[4] on frequently asked questions . This should be read alongside the basis of preparation shown within the template. This includes comments made by the ABI and a few of its members, following their review of the template. As a result, we were able to provide definitions that are practical and easy to understand. This should help respondents to gather consistent data and fulfil the requirements under the Act