- 1 day ago “FSCS’s protection increases consumer confidence when buying financial products and services, and our compensation helps put customers back on track if firms should fail”.
- FSCS Protection The Financial Services Compensation Scheme. Moneybox and its Pension Provider (Gaudi Regulated Services Limited) are. Contributing to or withdrawing from the Moneybox Personal Pension. When you pay money in or withdraw money from.
- The main protection is from the Financial Services Compensation Scheme (FSCS). It was set up to cover people's savings in the event that a bank were to go bust. The FSCS protects 100% of the first £85,000 you have saved, per financial institution (not per account).
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FSCS protection for UK-based customers of UK authorised firms will not change as a result of the UK leaving the European Union (EU). In most cases existing FSCS protection will continue, including after the Brexit transition period ends at 11pm GMT on 31 December 2020. About FSCS FSCS is here to protect your money. It is the body which gives you automatic protection up to £85,000 if your bank, building society or credit union goes out of business; and you’ll normally get your money back within seven days. FSCS is funded by the financial services industry and is free to.
Protection for your savings
At Raisin UK, we only partner with regulated banks that offer deposit protection through the UK Financial Services Compensation Scheme (FSCS), or, if a bank is regulated in a European country, through the European Deposit Guarantee Scheme (DGS). Under these bank compensation schemes, savings accounts from our partner banks that you open at raisin.co.uk are guaranteed protection up to a certain amount.
How does the FSCS work?
The FSCS provides assurance that your savings are safe by guaranteeing your money up to £85,000 per person, per banking group, or up to £170,000 for a joint account.
In the event that your bank fails, the FSCS will protect your savings up to the bank deposit protection limit. The FSCS also covers investments, credit unions, home finance and insurance.
What are the FSCS compensation limits?
If your financial provider fails, the FSCS will compensate deposits of up to £85,000 per person, per banking group. For joint accounts, the FSCS protection limit will double to £170,000.
The Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA) are the regulators responsible for setting the FSCS limits in the UK. Deposit protectionfrom the FSCS includes regulated UK banks, building societies and other financial institutions.
Am I eligible for the FSCS?
A simple way to remember who is covered by the FSCS is that individual savers with £85,000 or less in savings are covered. Most UK savers are eligible for FSCS deposit protection as the number of people with more than £85,000 in one savings account is low. If you have over £85,000 in savings, you might want to consider spreading your money across different banking groups, so more of your money is protected. You could also consider opening a joint account to increase your bank protection limit to £170,000.
You need to meet certain criteria to claim compensation from the FSCS. These criteria are also set by the FCA and PRA, and are as follows:
- The financial service provider must have failed and been unable to return your money
- The financial service provider you are making a claim against must have been authorised by the FCA and PRA when you opened your account
- The financial service provider must have lost your money
- You can only claim your own, personal money
Additionally, some businesses and charities may be eligible to claim in some circumstances.
How do I make a claim with the FSCS?
Making a claim is pretty simple and can be done through the FSCS website.
- Check you are eligible to claim.
You will need to complete a basic form about the nature of your claim, your provider, and whether it’s covered by the FSCS. The FSCS will quickly give you results that tell you whether you’re eligible to make a claim or not. - Gather all necessary documents.
You’ll need the following:
– Two forms of identification
– Products and advice documents for the account you are claiming against
– Your bank account details for the compensation payment once it’s approved - Create an online account.
You’ll use this account to submit your claim and check its progress. - Complete your claim application.
You’ll be asked why you are making the compensation claim and will need to upload copies of your supporting documents. - Monitor the progress of your claim.
You’ll receive an email confirmation confirming your claim has been received, and you can track its progress.
Where can I view a list of banks covered by FSCS?
You can find a list of Financial Services Compensation Scheme banks on the FSCS website. Financial institutions that are covered by the FSCS include regulated UK banks, building societies and credit unions.
If you have any questions, our UK-based Customer Service Team will be happy to help you.
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If you paid for cover with an insurer that has become insolvent, we may be able to compensate you. This is subject to conditions, limits and requirements set out by the Prudential Regulation Authority (PRA) in their rulebook.
To be eligible for protection, the company that failed must have been regulated by the Prudential Regulation Authority (PRA).
How we protect customers
There are three ways that we can protect eligible customers of failed insurers:
1. If the policy is replaced by a new policy with a different insurer, we can pay the new insurer towards the cost of this.
2. If the policy is not replaced and eligible customers are entitled to the remaining portion of their insurance policy premium, we fund and process this payment. Please note:
- The rules we follow say that we can only repay 90% the refund that is calculated
- If the insurance policy is in your name, but you paid for it with a loan from a finance company that required you to assign your rights to them, we will pay any return of premium payments to the finance company directly.
3. If policyholders have valid claims under an insurance policy with a failed insurer, which meet our conditions for eligibility, we pay either 90% or 100% of the claim value to eligible policyholders. Please see below for detail on compensation for different insurance types. This information is accurate as of December 2020.
Fscs Protection Pensions
The following insurance claims are entitled to 100% compensation. That means that if the insolvency practitioner accepts them, we will repay them in full:
- Third-party motor
- Employers’ liability
- Whole of life assurance
- Term life insurance and/or critical illness insurance*
- Insured personal pensions*
- Annuities*
- Income protection insurance – also known as permanent health insurance or long-term disability insurance*
- Professional indemnity insurance*
- Claims arising from the death or incapacity of a policyholder due to injury, sickness or infirmity (e.g. a death or disablement benefit of a personal accident policy or similar benefit on a motor policy.) *
- Building guarantee policies for firms that failed on or after 8 October 2020. Prior to this, 90% of the value of eligible claims will be repaid.
* If the firm failed on or after 3 July 2015. If before, claims are 90% protected.
The following insurance claims are entitled to 90% compensation. That means that if the insurer’s IP accepts them, we will repay 90% of their value:
- Motor first party
- Pet
- Travel
- Home
- Dental
- Health
- Warranty
- Public liability
- Property
The following insurance claims are not eligible for FSCS protection:
Fscs Protection Investments
- Goods in transit
- Marine
- Aviation
- Credit insurance
- Contracts of reinsurance for insurance firms or brokers / financial advisers
Find out more about what happens when an insurance company fails, or who gets involved in insurance failures.
Insurance
Other insurance
Find recently failed insurance companies by typing a name into the search box on the Find firms page.
How long will it take?
Fscs Protection
See how long it takes to typically process insurance claims.