Under FCA rules, what must High Street Insurance Brokers provide to Diane when recommending a home insurance policy?

When recommending a home insurance policy, High Street Insurance Brokers are required to provide a statement of demands and needs, alongside an explanation of how the suggested product meets those specific demands and needs. This process is designed to ensure that the insurance broker is acting in the best interests of the client, in accordance with the Financial Conduct Authority (FCA) regulations.

The statement of demands and needs is essential as it outlines the client's requirements and circumstances, helping the broker to tailor their recommendations to suit the individual customer effectively. In addition, providing an explanation of how the product offered aligns with those demands ensures that the client understands why the particular policy is suitable for their situation, fostering transparency and trust between the broker and the client.

This approach not only meets regulatory obligations but also enhances the quality of service provided to clients, ensuring they are informed decision-makers when it comes to their insurance needs. While detailed information about commission may be relevant under different circumstances, the focus is primarily on how the policy addresses the specific demands of the client.