Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if she will hold discussions with the Financial Conduct Authority on the (a) comparative costs of paying (i) vehicle and (ii) household insurance (A) annually and (B) in monthly instalments and (b) impact of such costs on people with lower incomes.

Treasury Ministers and officials have regular meetings with a wide variety of organisations in the public and private sectors on an ongoing basis.

The Government recognises that the ability to pay insurance premiums in instalments is an important tool for improving access to insurance. The Government is determined that insurers should treat all customers fairly and firms are required to do so under the Financial Conduct Authority’s (FCA) rules.

The FCA requires firms to ensure their products offer fair value (i.e. if the price a consumer pays for a product or service is reasonable compared to the overall benefits they can expect to receive). The FCA has been clear that it will be monitoring firms to make sure they provide products that are fair value, and, where necessary, it will take action.