A stable, well-functioning financial market for allA stable, well-functioning financial market for allResult
2023
FI Supervision 27: Non-life insurance undertakings’ product approval processes
The process for product approval is central from a consumer protection perspective. It aims to ensure that insurance undertakings focus on consumer interests when they develop and maintain insurance products. In an in-depth analysis that Finansinspektionen has conducted, we have seen a number of good examples of how undertakings work with and apply this process.
Consumer Protection Report 2023
The risks given the highest priority in FI’s consumer protection work for 2023 are unaffordable lending, unsuitable investment products and investment fraud.
Open finance in Sweden
Digitalisation introduces both opportunities and risks to the financial market. After conducting a new survey, FI has noted that broader regulation on how customer data can be shared with third-party providers could make it easier for consumers to compare financial products such as occupational pensions and mortgages.
Is there a need for supplementary and gadget insurance?
Consumers’ need for supplementary insurance differs by age. Younger consumers have a greater need for this type of insurance, while older consumers often have little need for it. The need for gadget insurance is limited, and there is often no need for it at all. These are the conclusions of an in-depth analysis conducted by Finansinspektionen (FI).
2022
Do loyal policyholders pay more?
Finansinspektionen has analysed whether loyal policyholders pay higher premiums for the three non-life insurance products that are most important for consumers: home insurance (contents), home insurance (building) and private car insurance. The analysis shows that premiums for home insurance (contents) are raised significantly more for loyal customers than for new customers. The premiums for home insurance (building) also are raised more for loyal customers, but this does not apply to private car insurance.
Consumer Protection Report 2022
Unsound lending practices and commission from the sale of financial instruments are the highest prioritised risks in Finansinspektionen’s (FI) consumer protection assignment for 2022.
2021
FI Supervision 24: Complaints handling in insurance firms
Finansinspektionen (FI) conducted a survey of twenty insurance firms and determined that the firms in general handle complaints in a satisfactory manner, but there is room for improvement.
Sustainability Report 2021 – the climate in focus
Finansinspektionen has an assignment to promote the financial system’s contribution to sustainable development. The sustainability report outlines the current sustainability issues that are related to the financial sector and lists examples of what FI is working on in this area.
Consumer Protection Report 2021
Paying by invoice or with other credit-based offers is becoming an integral part of shopping online. Young adults are unique with their small margins and large number of payment reminders and collection notices. Unaffordable loans are a prioritised consumer risk in this year’s report.
2020
FI Supervision 20: Distribution of Life Insurance
The majority of the distribution on the life insurance market occurs through external distribution channels. It is therefore important for insurance firms to fulfil their responsibility to choose suitable distribution channels for the target market and follow up that the insurance products are distributed to the proper target group.
Consumer Protection Report 2020
Finansinspektionen (FI) will prioritise two consumer protection risks for further work in 2020: unaffordable lending and unsuitable advice and distribution of financial products to consumers who were not part of the product’s original intended target market. FI will also assess the adequacy of claims handling for home insurance.
2019
Stability in the Financial System (2019:2)
The low interest rates are expected to remain low for a longer period of time. It could lead to greater risk-taking among various actors, and increased challenges for insurance undertakings.
Stability in the Financial System (2019:1)
Both the global and the Swedish economies appear to be slowing down. Low interest rates – which have resulted in high risk-taking and rising asset prices – are expected to remain low for a prolonged period of time. Resilience in the Swedish financial system is satisfactory in general. However, even if the banks’ resilience is satisfactory overall, FI makes the assessment that they need more capital to cover the risks in their lending to commercial real estate firms.
Consumer Protection Report 2019
In this report, Finansinspektionen (FI) presents the most prioritised consumer risks it has identified for 2019. FI also presents the experiences from its consumer protection work over the past year. Finally, FI identifies two areas on the financial market where consumer protection is clearly deficient and proposes regulatory changes to fill these gaps.
2018
Stability in the Financial System (2018:2)
The economy continues to be strong, both in Sweden and globally, but it is now showing signs of a slow-down. Interest rates have been low for a long period of time, which has led to high risk-taking and rising asset prices. As a result, the risks in the financial system are elevated. The resilience in the Swedish financial system is satisfactory in general but continued high growth in debt fuelled by lending and investments related to residential property and commercial real estate require monitoring.
Stability in the Financial System
The Swedish economy continues to be strong, and resilience in the financial system is satisfactory. However, a long period of low interest rates and strong growth has resulted in an elevated risk appetite, high asset prices and high debt globally, among Swedish households and on the commercial real estate market. The high level of indebtedness makes the financial sector more sensitive to shocks, and, if necessary, FI will take additional measures to strengthen the resilience.
2017
Conclusions from FI’s analysis of personal injury claims handling
The outcome of personal injury claims can have a considerable effect on the injured party. Some injured parties do not have confidence for the claims handling process at insurance undertakings. Given the total number of personal injury claims, there are relatively few complaints regarding claims handling.
Stability in the Financial System (2017:2)
The Swedish economy continues to be strong and interest rates are extremely low, which contributes to high asset prices and low risk premiums. As global interest rates rise in the future, there is a risk for an abrupt increase in risk premiums and a fall in asset prices, which could be stressful for the financial system.
2013
Supervision Report 2013
Many of the development trends in today’s financial markets raise important issues for FI. For consumers, greater mobility and increasingly complex financial products represent not only more opportunities but also higher risks. FI needs to bring attention to these risks and resolve them.
2012
Supervision Report 2012
The issues presented in this year’s Supervision Report stem from the work on financial consumer protection, financial stability and the requirements on company owners and management. In addition, the report discusses the increased international work, primarily within the EU.
2011
Supervision Report 2011
Finansinspektionen's annual Supervision Report discusses areas in which fundamental issues with regard to supervision and regulatory development have risen to the forefront and in turn have resulted in new lessons and conclusions.
2010
Lessons learned from supervision and regulatory development
FI's annual Supervision Report describes the lessons learned from the financial crisis as well as more general issues regarding consumer protection.
2008
Suitable TV insurance
Consumers are often offered product insurance when they purchase electronic products. If the consumer accepts, the insurance agreement is printed out and signed in the store.
IT disruptions at a constant, high level
IT disruptions are increasing at some companies and decreasing at others. On the whole, the number of disruptions remains at a constant, high level.
A changing pension market
The competition on the life insurance market is increasing. The pensions based on collective bargaining constitute an increasing share of the total life insurance market. Changed tax regulations are affecting motives and opportunities to take out insurance or supplement private insurances. Other types of investment are challenging life insurance companies and that creates new insurance products with a limited insurance element. FI has surveyed the procurement of supplementary pensions for salaried employees and analysed risks that procurements can entail for a changing pension market.
Allocation of surplus in traditional life insurance
It is not unusual that as much as one-fourth or more of a final pension is comprised of additional amounts that are based on surpluses. It is therefore significant how the company distributes its surplus to the customers.
Children’s insurance – a review of information and compensation
Parents who have a seriously ill child are entitled to compensation through the Swedish Social Insurance Administration. Those who choose temporary parental benefits can jeopardise their right to compensation from their child’s sickness and accident insurance.
2007
The benefit statements of pension companies still vague
The benefit statements for pension savings have not notably improved since Finansinspektionen’s review in 2006. A standard insurance vocabulary that would improve comprehension of the benefit statement is still lacking and many companies still specify fees that consumers pay for pension savings as a lump sum. In addition, too few pension companies explain in simple terms for their investors that the entire sum of the pension capital is not guaranteed.
Insurance companies handle some traffic injuries too slowly
Since Finansinspektionen’s review in 2005, insurance companies have taken some measures to shorten handling times for traffic injuries. Despite these measures, this study shows that there is still more progress to be made andthat companies in some cases are unnecessarily slow.
Pensions being paid
Normal consumers may need some help in understanding how to calculate thesize of their retirement pension. Recently this has been easier to find out. On example is the development of the Minpension.se web page, which can give an idea of how much national pension and occupational pension based on collective bargaining, has been earned to date. However, private insurancebased pension saving and capital pension policies* are not included in the background data with which minpension.se works.
