What does the term "market conduct" refer to in the insurance industry?

The term "market conduct" in the insurance industry specifically refers to the practices and behaviors of insurers and agents in their business dealings. This encompasses how insurance companies and their representatives interact with consumers, including their sales practices, underwriting processes, claims handling, and customer service. Regulatory bodies evaluate market conduct to ensure that insurers operate fairly and ethically, protecting consumers from deceptive practices and ensuring a healthy competitive environment.

Understanding market conduct is essential because it highlights the importance of ethical behavior and fair treatment in the insurance marketplace, which directly impacts consumer trust and overall market integrity.