New Vulnerable Customer Guide for brokers
As one of the largest insurers in the UK, the fair treatment and understanding of our customers is at the heart of all we do. Our people have the skills to support customers when it comes to products and services, but also in recognising and responding to signs of vulnerability. View our refreshed Vulnerable Customer Guide for insights that may be useful to your brokerage.
Vulnerable customers are a key focus for the FCA, who provide guidance around the expectation on firms to protect and respond to the needs of customers in vulnerable circumstances. The Consumer Duty* which came into force for open products and services on 31 July 2023 took this further. Under the Duty, firms must act to deliver good outcomes for retail customers and continuously address issues that risk causing consumer harm. This enhanced the requirements to support customers in vulnerable circumstances and enable them to have outcomes as good as other consumers.
Aviva’s definition of a customer in a vulnerable situation is ‘someone who, due to their personal circumstances, is potentially susceptible to detriment, requiring Aviva or a Partner to provide an enhanced and focused level of care’. Characteristics of vulnerability can be complex and overlapping. For example, a life event like a relationship breakdown or bereavement may lead to further vulnerability such as mental ill-health or low resilience. This may be made worse if the customer has low or limited capability to engage with financial services or to manage their finances.
Having an approach and a defined policy for managing customers with vulnerable characteristics is important. Your brokerage is likely to have this in place, but if you’re in need of guidance or additional insights, this guide may benefit you and your customers. It includes a link to Aviva’s own Vulnerable Customer Policy that you’re welcome to use as a basis to develop or enhance your own.
If your brokerage is a subscriber to the Aviva Development Zone, you can find modules on Vulnerable Customers to develop your knowledge on this important topic. If you’re not signed up already, you can register for a 30-day free trial.
If you have a vulnerable customer and need specific assistance from Aviva, please contact your Claims Service Manager or Broker Development Manager.