Mis-Selling Scandal Costs Tens Of Millions

The home insurance and repair group Homeserve has admitted its mis-selling scandal is to cost it tens of millions of pounds.

The company, which last month admitted shortfalls in its UK sales procedures, says it has made progress in retraining call centre staff and sales scripts since the problems with pricing transparency on complete cover policies came to light.

It has been working on reforms with the Financial Services Authority (FSA), having also identified faults in its complaints handling procedures.

It has put an initial cost on implementing its new practices but could still potentially be slapped with an FSA fine and compensation bills in the event of a full investigation by the City watchdog.     Full Read