Prudential, the company behind the UK’s biggest with-profits fund, have announced that bonus rates are to be maintained in 2006, meaning that all policies maturing this year will see increased payouts.
An endowment shortfall notification is pretty bad news for anyone to receive, but poor performance of an endowment, like any investment, isn’t in itself grounds for complaint and compensation.
Pressure is rising on the government to improve compensation levels for Scots who bought endowment policies from solicitors and who are now facing shortfalls.
The chairman of the Treasury select committee, John McFall, has written to economic secretary Ivan Lewis asking for action to close a loophole that could leave thousands of Scots facing shortfalls. Read more »
A new group has been set up in Scotland to lobby for a change in the way endowment compensation is paid when the policy was bought from a solicitor, was mis-sold, and now faces a shortfall.
Unlike in England, where all policies are bought from financial companies regulated by the FSA, Scots were able to buy policies from solicitors up until 2001 - leaving victims of mis-selling outside the normal FSA compensation process.
Life insurer Scottish Widows have announced improved bonus rates for 2006, bringing a measure of cheer for around 70% of its with-profits policy holders, including those with endowment mortgages.
An article in the Telegraph warns that a new mortgage crisis could be looming, as half of endowment compensation paid out has been ’squandered’ rather than being used to restructure the mortgage.
Holders of Standard Life endowment policies have been dealt a fresh blow with news that the insurer is to cut its with-profits payouts by up to 18%.
A new service has been launched which may help people claim endowment compensation against a firm which has gone out of business since selling the policy.
Endowment policies may rise in value thanks to a new wave of overseas investors, says a leading traded endowment company.
If you’re one of the millions of endowment policy holders who have lost out financially as a result of poor advice, you could be eligible for compensation and need to make a claim.
Many companies, known as endowment claims handlers, will handle the complaint and claim process on your behalf, but will charge a hefty fee for doing so. There’s no reason why you can’t do it yourself and get 100% of the compensation you’re due.