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The UK’s financial regulator said insurance companies are not always providing clear information to consumers about whether it is cheaper to pay for coverage upfront or in installments.

The Financial Conduct Authority said the industry should take action when required after reviewing 13 insurers and 30 intermediaries. It found a number of cases where insurers and brokers didn’t provide the interest rate, fees and charges, or the total amount payable for policies.

Linda Woodall, acting director of supervision, said the FCA is following up with individual companies where it found specific examples of failings or poor practice.

“Regardless of whether people choose to pay upfront or in installments, it’s important that they can see exactly what they are signing up for,” she said in a statement on Monday.

The FCA studied online sales of home and car insurance and traced the path followed by customers up to the point where they were required to input payment details.

It didn’t name any of the insurers it reviewed.

Copyright 2025 Bloomberg.

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