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CMC Update
31/08/17

The Claims Management Regulation (CMR) unit recently published its latest CMC bulletin for CMCs it regulates (CMR Bulletin 32). This edition includes information and advice on direct marketing (still an area of concern and non-compliance), identifying and protecting vulnerable clients, rules and guidance in relation to Plevin, and an update on the progress of the Financial Guidance and Claims Bill.

Other guidance and information covered in this latest bulletin for CMCs includes:

  • Misleading price indications
  • Pre-submission checks reminder – no PPI and duplicate complaints (due to lack of gathering sufficient information)
  • Transfer of business
  • Recent enforcement action
  • Annual report 2016-17
  • The Legal Ombudsman Professional Learning Course (learning from complaints for the claims management industry); and
  • Claims Management Regulation 10th Anniversary Publication

Guidance: Plevin guidance for Claims Management Companies

The idea behind this latest CMR bulletin is the MOJ wanted to ensure that CMCs understand the rules and expectations in handling cases relating to Plevin prior to the FCA’s PPI campaign going live on the 29 August.

Key areas covered in this recently published bulletin for Claims Management Companies include:

  • The importance of clarity and transparency in marketing and communications with clients
  • Obtaining instructions and using information already held
  • Eligible Plevin cases; and
  • Referring complaints to the FOS

Of particular interest to members is the regulators expectations of CMCs in relation to obtaining instructions and using information already held. On this point the bulletin says: “You should ensure that you have sought clients’ instructions to act on their behalf in relation to the complaint on Plevin grounds. You are likely to require a new Letter of Authority from your client if you have not previously raised Plevin grounds, the complaint was rejected more than six months ago, and it has not already been referred to the Financial Ombudsman Service”…