The Association of British Insurers (ABI) has unveiled a strategy report to tackle financial exclusion across credit, insurance, and savings.
The report sets out the ABI’s strategy to improve the relevancy and accessibility of the market by giving customers the resources and education to navigate it.
Chris Blackwood, interim head of communications at the ABI, said the findings from the strategy influence the way the ABI speaks to its customers and direct the focus of its marketing campaigns.
“While we’re formally publishing the strategy today, we have been living it for the past two years. It has influenced a range of our work, from explaining insurance pricing and principles – such as our ‘Dad Comes Home’ animated ad, which was released alongside a raft of consumer FAQs – to our annual #PensionAttention campaign,” Blackwood told Financial Promoter.
The report outlined motor insurance as the “most acute” challenge, outlining its commitments and plans to resolve the affordability issue and help fill the advice gap.
As part of its work on motor insurance, the ABI’s “premium finance principles” set out what fair practice looks like for firms charging customers on a monthly basis, offering consumers help with transparent pricing.
“We worked with our members to agree these together and also brought associated stakeholders (e.g. brokers and finance providers) on board too.
“This will improve outcomes for consumers and the reputation of the industry at the same time,” Blackwood said.
The ABI partnered with Fair4All Finance on the report, a not-for-profit organisation founded to improve the financial wellbeing of people in vulnerable circumstances.
According to data by Fair4All Finance, there are at least 17.5m people in the UK in vulnerable financial circumstances – nearly a third of all adults in the UK.