The regulator recommends that financial market participants, when developing new products, study the needs of customers, assess possible risks and inform consumers about them. The recommendations also involve monitoring the quality of sales and people’s satisfaction with financial products.
In 2-3 quarters of this year, market participants will have to report to the Central Bank on their adherence to the recommendations. “Let’s see how these recommendations are implemented. Then, the most important ones will be transferred to the performance standards. Our first pilot will be held in the insurance market and it is planned to implement them in the basic standard,” Mamuta said.
According to the regulator, the number of complaints received by the Bank of Russia in the first quarter of 2024 regarding insurers decreased by 40.7% compared to the same period in 2023. There were fewer complaints in all insurance segments, including compulsory motor liability insurance (a decrease of 45.5%, while the number of mass appeals for incorrect application of the bonus-malus coefficient decreased significantly – by 40.1%).
The All-Russian Union of Insurers (RUS) notes that the introduction of basic performance standards contributes to reducing the number of complaints. Now, within the framework of the Expert Group on Standardization of Insurance Activities created within the framework of the ARIA, market participants are discussing with the regulator proposals for amending the basic rules related to the new procedure for considering citizens’ appeals, as well as testing individuals if they wish to enter into a voluntary life insurance contract, but are not qualified investors.
As noted by ARIA, the issue of including requirements for the creation of an internal document of an insurer on the management of insurance products in the core standard requires further elaboration. During the discussions of this proposal, the insurance community expressed concern that the proposed changes to the standard, such as the publication of internal documents of an insurance organization on the management of an insurance product, the presence and content of which may constitute a trade secret, constitute excessive regulation and could create problems in the implementation of the standard.
