FCA to dive into tech opportunities for insurance industry.

TLDR:

• FCA chief executive plans to explore big tech firms’ datasets for opportunities in financial services and insurance sectors.
• Analysis will focus on unlocking better products, competitive prices, and wider choices for consumers and businesses.

FCA chief executive Nikhil Rathi has revealed plans to examine how big tech firms’ datasets could create more opportunities in the financial services and insurance sectors. The regulator’s analysis will focus on unlocking better products, competitive prices, and wider choices for consumers and businesses. Currently, big tech firms have access to financial services data through open banking, but are not required to share their data with the financial industry. The FCA’s call for input in November 2023 aimed to explore the asymmetry of data and data sharing mechanisms between big tech and financial services firms. If potential risks or harms from data non-sharing are identified, the FCA will develop proposals for the Competition and Markets Authority to consider when regulating designated firms’ digital and data conduct.