Product Oversight


We would like to share with you an outline of the Product Approval Process that we use for new products as well as for significant modifications of existing products, and how we regularly review our established products. We would also like to provide you with a description of our Target Market, to clarify who our products are intended for, and how we monitor our distribution channels to ensure they remain appropriate, and do not have a detrimental impact.

Product Oversight and Governance

Countrywide Legal Indemnities (CLI) has well established product governance processes in place to oversee the design, approval and review of our products, which meet the requirements of the Insurance Distribution Directive, and the FCA’s GI Pricing Practices and vulnerable customers guidance.

New product developments and significant modifications to existing products are subject to a formal product approval process that:

  • Identifies the intended target market and the needs of those customers
  • Tests products to assure they meet the needs of the target market
  • Monitors post-sales performance and customer value
  • Assesses fair value for the customer.

We also regularly monitor and review all of our products to identify if any changes are required, and ensure that they continue to meet the policy holder’s needs. Along with extensive MI and root cause analysis reviews to support our ongoing monitoring, we undertake an annual ‘fair value’ product review to ensure our products continue to provide fair value to policyholders.

As product co-manufacturer, in conjunction with Liberty Mutual Insurance Europe SE (UK branch), CLI will continue to develop products suitable for our defined target market, and monitor the performance of our products as outlined above.

Please continue to direct any product development requests, feedback or concerns about CLI’s products via your usual contact.

Target Market description

Legal Indemnity (LI) products are designed for property buyers and/or lenders who require insurance protection against future claims arising from defects in title to property that are revealed during conveyancing checks undertaken, prior to completion of a purchase and/or mortgage. In addition to providing the protection required, the products enable the transaction to proceed as an affordable alternative to attempting to legally resolve the defect, which can be time consuming and uncertain, and potentially prevent a transaction from going ahead as planned.

FCA regulations prohibit the sale of these products directly to the insured, so our target market is conveyancing solicitors and licensed conveyancers, who are acting on behalf of their clients and are regulated by either the Solicitors Regulatory Authority or Council of Licensed Conveyancers. These legally qualified professionals represent a very established distribution channel, whose own regulations require them to to act in the best interests of their client. We generally review this distribution channel as part of our annual ‘fair value’ product review to ensure it remains appropriate, albeit bearing in mind the established role of conveyancing firms arranging LI policies as ancillary to their primary property conveyancing work for their client and lender.