The FCA’s pricing practices remedy, in force since 2022, banned the practice of charging renewing home and motor customers more than new customers for the same cover. It reshaped how premiums are priced at renewal.
What changed
Before the remedy, insurers could price by loyalty, charging long standing customers higher premiums. The FCA required that the price offered to a renewing customer be no greater than the price a new customer would get for equivalent cover.
What it means for you
Renewal prices became more aligned with new business, though insurers shifted toward other charges and the cheapest deals still sit with switchers. Our analysis of why home premiums move covers the wider pricing picture, and our guide to complaining explains your options if a price looks wrong.
Related rules
The remedy sits alongside the Consumer Duty and product governance as part of how the FCA protects customers. Our explainer on the Consumer Duty covers the broader standard.