Sesame accused over panel
FINANCIAL ADVISER - 10TH MARCH 2005
Payment protection insurance broker Burgesses has written to the FSA and the OFT to complain about Sesame’s panel practices.
Burgesses, a provider of accident, sickness and unemployment cover, has written to the City and competition regulators regarding the IFA network’s multi-tied panel of protection providers.
In his letter, Simon Burgess, managing director of Burgesses, said: “Sesame-appointed representatives are claiming to be independent whereas they are in fact multi-tied agents who cannot access the best products for their client and therefore cannot give best advice.”
Mr Burgess said he was disappointed about Sesame’s decision as his own firm’s accident, sickness and unemployment topped Which? magazine’s best-buy table for mortgage payment protection insurance cover in July 2004 and is the most competitive on the market, yet Sesame refused to offer Burgesses a place on its panel.
Philip Boothroyd, product manager for general insurance with Sesame, who has been accused of personally turning down Burgesses, said: “Mr Burgess only contacted us recently. No final decision has been taken and we are disappointed that Mr Burgess has chosen to pre-empt matters in this way.
“You can still offer ‘best advice’ without the most competitive rates. Individuals can always search the internet.”
