The Financial Services Authority (FSA) has launched an online comparison table for payment protection insurance (PPI). The table allow consumers to see details of different PPI policies, including the cost, exclusions and how pre-existing conditions are handled.

But industry experts have branded the service "indecipherable" and given warning that it will do nothing to stop mis-selling.

PPI covers repayments on credit products if the borrower becomes unable to pay due to an accident, sickness or unemployment. Lenders have been criticised for aggressively selling the insurance, which is frequently overpriced and ineffective, alongside mortgages, credit cards and personal loans. The Competition Commission, which is currently investigating the market, has already called for greater clarity on costs - whilst thousands of consumers who have been mis-sold the policies are in the process of claiming refunds.

But Simon Burgess at insurer British Insurance said: “The tables do not allow consumers to compare products on a like for like basis. There are so many product variations with differing exclusions, terms and conditions, it’s impossible to be able to collate the data in a way that allows consumers to work out what’s really a good deal.”

Mr. Burgess said that consumers using the tables are faced with “a staggering array of information” – for example, a 44 year-old looking to protect a £400 monthly mortgage repayment would be faced with 482 PPI providers in a table. “These indecipherable tables will be of no use to consumers at all. How can they possible identify products that meet their needs when there’s so much to choose from?” he said.

Campaigners at consumer watchdog Which? added that the comparison tables are not enough to tackle the widespread mis-selling of PPI. Teresa Fritz at Which? said: “While comparison tables are always useful, people should be aware that there are alternative and better products than PPI – for example income protection insurance, which is usually much more effective.

“It’s vital that consumers are offered the opportunity to review their entire protection needs when being sold a loan, or there’s a danger they won’t have adequate protection. “

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