Which body oversees the regulatory compliance of insurance practices in the UK?

The Financial Conduct Authority (FCA) is the primary body responsible for overseeing the regulatory compliance of insurance practices in the UK. Its main role is to ensure that financial markets function well and that consumers are protected. This includes monitoring the conduct of insurance companies and ensuring that they adhere to regulatory standards, thereby promoting fair treatment of consumers and maintaining the integrity of the financial services sector.

While the Bank of England plays an important role in the overall financial system, it does not specifically oversee consumer conduct in insurance practices. The Prudential Regulation Authority (PRA), which is part of the Bank of England, is primarily focused on the prudential regulation of firms, ensuring they maintain adequate capital and risk management practices rather than consumer conduct. The Association of British Insurers (ABI), on the other hand, is a trade association representing the insurance industry but does not have regulatory authority. Hence, the FCA is the correct entity for oversight in this context.