Matt Morris, Policy Adviser at LifeSearch,

comments on the new ABI guidance on non-disclosure and treating customers fairly. ABI's new guidelines strongly welcomed by protection specialists LifeSearch.

Matt Morris says: "We strongly welcome the new guidelines the ABI have released today.

It's a big step forward for the industry and should lead to more claims being paid and less cases being referred to the Ombudsman." There are now three levels of non-disclosure - 'Deliberate or without any care', 'negligent' and 'innocent'.

The ABI make clear that an innocent claim should be paid in full and a negligent one should result in a proportionate payout.

Deliberate will lead to the claim being declined.

Previously, proportionate claims were much more of a grey area without sufficient rules or guidance.

This has now been clarified." "This new guidance should stop insurance companies 'fishing' for reasons to decline claims.

Insurers must now have a specific reason for requesting a claimant's medical records and must confine a request to information relevant to the claim.

This new guidance applies to new and existing policies." "In short, the guidelines will be fairer to those who act honestly, and clearer for those who don't .".

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