FSA warns of illegal motor insurance
FSA/PN/092/2006
20 September 2006
The Financial Services Authority is urging consumers that have bought motor insurance from a company called Double Easy Brokers Ltd (trading as Eeasybrokers) to arrange valid motor insurance cover immediately. This is because until recently, Double Easy Brokers Ltd, which is not authorised by the FSA, was offering invalid motor insurance policies to the public.
The FSA has today published a warning about Double Easy Brokers Ltd because consumers would be committing a criminal offence by driving without valid insurance cover. Consumers should also contact the FSA's consumer helpline on 0300 500 5000 to assist with their enquiries. Because the firm was not authorised, consumers do not have access to the Financial Services Compensation Scheme or the Financial Ombudsman Service.
The FSA knows of only a limited number of invalid policies that were sold to consumers in the Cardiff, Leeds and Southampton areas. But, because policies may have also been sold by franchises, the extent and location of the sales could be greater. Although Eeasybrokers appears to have ceased trading it is possible that policies issued by Double Easy Brokers Ltd may have been or continue to be sold by franchisees and/or other intermediaries.
Double Easy Brokers Ltd claimed association with Zurich Insurance Company, but is not affiliated with Zurich in any way. Double Easy Brokers Ltd also falsely claimed that it was authorised to issue the policies in Zurich’s name.
Double Easy Brokers Ltd traded through its website in a style identical to that of easyMoney.com Car Insurance. However, neither easyMoney.com nor any other company within the easyGroup group of companies has any affiliation with Double Easy Brokers Ltd. Both Zurich and easyGroup brought this matter to the FSA's attention and provided information on the activities of Double Easy Brokers Ltd.
Double Easy Brokers Ltd is registered with Companies House (Company No: 05885504) and its registered office is 11 Murray Street, Camden, London, NW1 9RE. Literature distributed by the company lists a further address: Capitol House, 1 Houndwell Place, Southampton, SO14 1HU.
Notes for editors
- The FSA's consumer warning on Double Easy Brokers Ltd was posted on its website on 20 September 2006.
- The FSA regulates the financial services industry and has four objectives under the Financial Services and Markets Act 2000: maintaining market confidence; promoting public understanding of the financial system; securing the appropriate degree of protection for consumers; and fighting financial crime.
- The FSA aims to promote efficient, orderly and fair markets, help retail consumers achieve a fair deal and improve its business capability and effectiveness.