Watchdog warns on 'inadequate' mobile phone insurance Mobile phone insurers have been found "inadequate" in a review by the Financial Conduct Authority (FCA). The review cited several examples of "poor practice" and instances where contract terms were unclear and customers were not treated fairly. Clive Adamson, the FCA's director of supervision, said there was a "gap between what the customer thinks they are getting, and what they are really getting. Closing this gap will lead to greater trust and confidence. The findings support recent figures released by the Financial Ombudsman Service (FOS). Last year the FOS tackled 615 new complaints about mobile phone insurance. The majority - seven in 10 - were ruled in the consumer's favour, a considerably higher uphold rate than for most other financial products. The Ombudsman disclosed that the main complaints regarded mis-selling of insurance products and how claims were processed by insurers. Richard Lloyd, executive director at consumer champion Which?, said: "This report from the FCA exposes poor practice at every stage of the consumer journey. Mobile phone insurers are too often relying on technicalities buried in the small print to reject legitimate claims and are then failing to deal adequately with consumer complaints. He said the industry needed to show real improvement before consumers can have full confidence in the product. The FCA review considered nine mobile phone insurers, covering the majority of the market. Mr Adamson from the FCA said that following the review firms were already making changes, including handling claims more promptly and changing terms so customers better understood the cover. He concluded: "We have begun communicating the findings to the firms that took part in the review and they are making improvements. Mobile phone insurers need to continue in this vein and show their customers that they are putting them at the heart of their business models, and offering everyday insurance products that do what they say on the tin. Have you had an insurance problem? Tell us your story at money@telegraph.co.uk