Compensation raised in financial product disputesBy Kao Shih-ching / Staff reporterAmendments to the Financial Consumer Protection Act (金融消費者保護法) took effect on Friday, raising compensation benchmarks to NT$1.2 million (US$43,265) for investment-linked products and NT$120,000 for non-investment products, from NT$1 million and NT$100,000 respectively. The rising benchmark hike follows changes in inflation and economic growth, and aims to enhance consumer protection, the Financial Supervisory Commission said. Under the new regulations, after the Financial Ombudsman Institution (FOI) reviews a consumer complaint regarding a financial product or service, and determines appropriate compensation, the company should accept its decision without ability to appeal. In disputes regarding non-investment products, such as medical insurance, the financial company must accept the FOI’s decision when it involves compensation of NT$120,000 or less under the new regulations, the commission said. The new regulations are not retroactive, and an FOI decision is binding only for financial companies, the commission said.

Source: Taipei Times September 19, 2021 15:56 UTC