PRA's Rule warns on 'over-optimistic' views on pricing

The director of insurance supervision at UK regulator the
Prudential Regulation Authority (PRA) has warned that carriers
could be taking an "over-optimistic view" of pricing and
may not have correctly assessed the risks associated with a
broadening of policy terms and conditions.
PRA director David Rule issued the warning in a letter to
insurance CEOs following the regulator's most recent market
monitoring survey. The letter also gave an insight into the
regulator's probe into broker facilities,