Halifax Personal Investment Plan

Tardie

Hi,

I was hoping someone could help me out with this.

My mother who recently passed away had a Personal Investment Plan with the Halifax.

The sum she invested was 70k in September 2007.

I have found the last statement dated September 2009.

The plan value is now worth 45k as she withdrew around 16k from the original investment.

Which means 9k has been lost from the plan.

The plan has Death Benefit and I was wondering what that means?

The death benefit is payable on the death of the life covered. The benefit paid out will be the greater of either the value of the plan on the next valuation after we are notified of the death of the relevant live covered, or the total amount invested adjusted for any withdrawals made from the plan.

On the Halifax website the information regarding Death Benefit says –

If your life is the only life covered, we’ll pay out the benefits of the plan to your estate.

There are a few more things regarding this but they are just as confusing.

The problem I have is that the Halifax has told my Solicitor the value of the plan is 45k and nothing about the linked Death Benefit to the plan?

Would the Death Benefit be the shortfall of 9k based on the withdrawals against the original investment?

Or is the left over money returned to the estate the death benifit as it stands and nothing else?

Very confused with the this, in need of some help!

Many thanks in advance.

anselld

Tardie wrote: »

Hi,
The death benefit is payable on the death of the life covered. The benefit paid out will be the greater of either the value of the plan on the next valuation after we are notified of the death of the relevant live covered, or the total amount invested adjusted for any withdrawals made from the plan.

Sounds like the death benefit should be £70,000 - £16,000 = £54,000
I would take the policy document in to your solicitor and explain.