Insurance Broker Banned by FSA
Insurance broker Xsavi has permission to trade withdrawn by regulator
24th Febraury 2006
Insurance broker Xsavi Ltd has been effectively banned by the FInancial Services Authority (FSA) as permission to trade was withdrawn.
The action follows the sale of 2,000 travel insurance policies which were not underwritten, as Xsavi had not yet completed negotiations with the actual insurers. The policies were therefore worthless, and could not be claimed on.
The sales took place in February last year, and were reported to the FSA by one of Xsavi's own management team.
The FSA described Xsavi's conduct as 'not acceptable', and causing 'significant risks to consumers, potentially extremely serious in relation to travel insurance'.
The ban is the first one imposed by the FSA since taking over regulation of the insurance market in January 2005.
Read More: FSA cancels insurance firm's permission to trade
Home - Insurance - Travel Insurance
