Phoenix

50Twuncle

My wife has a (with profits) life insurance policy with Phoenix (Sun) - taken out 20 years ago at £20 per month premium - due to pay out next month - they have offered her a pawtry £4420 - which to me looks wrong
How can £20 per month over 20 years produce a LOSS of £400 ?
Is it worth her appealing under the FSA scheme because it was supposed to be a WITH PROFITS policy ?

Quentin

It was a life insurance as well as an "investment" (shares can go down as well as up!), so had she died 19 years ago you would have seen the benefit!

50Twuncle

Quentin wrote: »

It was a life insurance as well as an "investment" (shares can go down as well as up!), so had she died 19 years ago you would have seen the benefit!

No I wouldn't - we only met 10 years ago - but you are saying "accept it" ?

Quentin

No, you need to be satisfied you are getting paid out correctly, I am just pointing out that the life insurance has to be paid for, and that part of the premium isn't part of the "investment".

She hasn't been "investing" all of the £20 a month!

ACG

Look at this the other way...shes had a life insurance policy for 20 years which has cost £400?

Over the last few years share prices have dropped, no point appealing anything its not their fault share prices have dropped.

ffacoffipawb

21Twinkle wrote: »

My wife has a (with profits) life insurance policy with Phoenix (Sun) - taken out 20 years ago at £20 per month premium - due to pay out next month - they have offered her a pawtry £4420 - which to me looks wrong
How can £20 per month over 20 years produce a LOSS of £400 ?
Is it worth her appealing under the FSA scheme because it was supposed to be a WITH PROFITS policy ?

What's the name of the policy? e.g. With Profits Endowment.

50Twuncle

ffacoffipawb wrote: »

What's the name of the policy? e.g. With Profits Endowment.

It's a with profits life endowment policy (not on a property)

The reason that I am asking is that 4 years ago - my endowment policy taken out on a property 25 years ago with Sun Alliance - Phoenix matured and I was compensated for a missold policy (with-profits) on the grounds that it, too, failed to produce the funds that it should have done .....

kingstreet

A "savings" endowment returns whatever the market and its underlying investments say it returns. The salesperson sold a plan which will return a low(ish) guaranteed sum assured and unguaranteed bonuses amount in the future.

A "mortgage" endowment was designed/illustrated to return enough to repay that mortgage and provide a lump sum over and above that. Compensation has been paid to those who may have been misled as to the reliability of the claims related to those returns.

"Underperformance," as a single issue, is not sufficient grounds to claim a product was mis-sold. It may have been mis-bought by a purchaser who simply backed the wrong investment horse.

opinions4u

21Twinkle wrote: »

The reason that I am asking is that 4 years ago - my endowment policy taken out on a property 25 years ago with Sun Alliance - Phoenix matured and I was compensated for a missold policy (with-profits) on the grounds that it, too, failed to produce the funds that it should have done .....

You were not compensated for the performance of the policy.