From culture to compliance: managing non-financial misconduct in insurance 2025

In this IIL London Market webinar, Suneeta Padda examines the FCA’s evolving expectations on non-financial misconduct (NFM) and its impact on governance, workplace culture, and regulatory compliance, providing practical guidance on identifying, preventing, and managing NFM within insurance firms.

The FCA’s recent survey on non-financial misconduct (NFM) highlights a growing regulatory focus on workplace culture and governance in financial services. Misconduct issues such as bullying, harassment, discrimination, and toxic workplace culture are now being treated as regulatory risks rather than purely HR concerns.

This session explores how firms can align with FCA expectations by implementing robust governance structures, effective policies, and clear reporting mechanisms to prevent and address NFM. Attendees will gain insights into best practices for mitigating reputational, legal, and regulatory risks associated with NFM. This session also covers the role of boards, HR, compliance, and senior leadership in embedding cultural change and ensuring regulatory compliance, with a particular focus on: building a culture of accountability and psychological safety; effective whistleblowing and reporting frameworks; and board-level governance and FCA compliance.

Learning objectives

• A clear understanding of non-financial misconduct (NFM) and its regulatory implications:
  • What constitutes NFM (e.g., bullying, harassment, discrimination)?
  • How the FCA is incorporating NFM into its regulatory expectations and governance reviews
  • The impact of NFM on firm culture, employee retention, and regulatory compliance

• Best practices for mitigating NFM-related risks and enhancing governance structures:
  • How firms can embed effective policies, procedures, and training to prevent misconduct
  • The importance of whistleblowing protections and fair investigation processes
  • Practical steps to ensure that risk, compliance, and HR teams work together to manage NFM effectively

• Insights into the FCA’s expectations for boards, senior leadership, and INEDs (Independent non-executive directors):
  • The role of boards and senior management in driving cultural change
  • How INEDs and Whistleblower Champions can challenge management on NFM oversight
  • FCA Principle 11 obligations and regulatory notifications for misconduct incidents

Speakers

• Suneeta Padda, CEO, Padda Consulting Limited