Insurance and repairs group HomeServe has suspended its telesales operation after an independent review into alleged mis-selling.
Walsall-based HomeServe (HSC) said over the past month it had been undertaking a comprehensive review of its UK telephone sales operations and procedures including commissioning an independent report from Deloitte.
“This review showed that there were cases where its sales processes did not meet the company’s required standards,” the group said.
“Following this review, the company has therefore decided to suspend all telephone sales and marketing activity. The company’s service to customers making a claim or renewing their policy is unaffected by this decision.”
In a statement to the London Stock Exchange, HomeServe said it had commenced an immediate re-training programme for its telephone sales staff and is developing new scripts.
It added: “This will mean that from Tuesday 1 November the company will be in a position to recommence taking ‘inbound’ calls from customers to buy its products.
“The company will not recommence ‘outbound’ sales calls until relevant staff have been through a comprehensive retraining programme and until it is confident that all sales procedures meet the standards it expects.
“Throughout the course of this review, HomeServe has been in regular dialogue with its regulator, the FSA, and they have been fully informed of the measures that have been implemented.”
Chief executive Richard Harpin said: “We are determined to ensure customers receive the highest standards of service and we have therefore taken swift action to address the issues identified by our review. We have commenced a programme to re-train staff. We will resume marketing once we are confident that our sales processes meet the standards that we and our customers expect”.