“We have important information,” were the words of the Financial Conduct Authority (FCA) when the regulator released another consumer alert for clients of Weston-super-Mare insurance broker Professional Construction Risks Ltd (PCRL).
“If you are approached by PCRL or any representatives of PCRL about taking out or renewing an insurance product, you should decline to do business with the firm while our requirements remain in place,” noted the FCA, which first published an alert late last year.
“You should also report the matter to our consumer helpline.”
The helpline, which consumers can contact if they have further questions, can be reached at 0800 111 6768.
To confirm the status of their policies, affected customers are advised to get in touch with their insurer directly. Those making a mid-term adjustment or who have claims should do the same. Meanwhile, policyholders approaching their renewal can contact either their insurer or another broker.
As reported by Insurance Business in December 2020, various requirements had been imposed by the FCA on PCRL through a supervisory notice. The brokerage was required to cease carrying out regulated business, and a consumer alert was released at the time to inform policyholders of the requirements.
Earlier this year, a second supervisory notice was issued to state that the same requirements remained in place. These included protecting client money and returning to policyholders any premiums not yet paid to insurers, as well as paying claims monies already received by PCRL from its insurance partners.
The regulator, which has now published a new alert to ensure consumer awareness, said: “We have serious concerns that PCRL appears to have made an application for a loan in the name of one of its consumers, without having authority to do so, and without making arrangements for the consumer to receive the benefit of loan funds.
“Since the consumer did not receive the benefit of the loan funds, it is inferred that PCRL benefitted from receipt of the loan funds and thus appears to have acted dishonestly. For this reason, we believe that without these requirements there is a risk that PCRL will continue to act in a dishonest manner, which could result in harm to consumers.”
