Regulatory Alerts2018-06-04
Added · Updated
PS18/23: Claims management regulation for CMCs
The Financial Conduct Authority establishes final rules and guidance for regulating claims management companies (CMCs) in England, Wales, and Scotland, effective 1 April 2019. The document introduces a new Claims Management Conduct of Business sourcebook (CMCOB), defines seven specific permissions for regulated activities, and sets out authorization deadlines ranging from 1 April to 31 July 2019. It mandates pre-contract disclosures regarding fees and liabilities, requires customer consent for significant steps after six months, and imposes a minimum periodic fee of £500 for smaller firms with turnover up to £50,000. Prudential resources requirements are scheduled to commence on 1 August 2019.
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