Big-league insurance broker Swinton Group, which includes specialist motorcycle insurer Swinton Bikes in its portfolio, has been fined £7.38m by the Financial Conduct Authority for mis-selling monthly add-on insurance policies
The FCA says that, between April 2010 and April 2012, Swinton generated £92.9m from selling personal accident, home emergency and motor breakdown policies without providing enough information to customers about the key terms. It also failed to properly monitor its sales calls to these customers.
FCA director of enforcement and financial crime Tracey McDermott commented: “Swinton failed its customers. When selling monthly add-on policies, Swinton did not place the consumer at the heart of its business. Instead it prioritised profit.”
In response to this verdict Swinton has also had to set aside £11.2m to repay customers who were mis-sold and has contacted over 650,000 people it thinks may have been affected.