Have we been Mis-sold

CurvyPenelope

My husband and I purchased life insurance from Lloyds TSB, assuming it was for full life, my husband was 70, and I was 46. On checking our bank account in December 2011 we realised that payment for my husband's policy had not been taken and we contacted Lloyds to find out why and were advised that we had taken policies that ended when we were 75. We were both unaware of this at the time of taking the policies as we thought the policies were for whole of life. Is there anything we can do or do we just write this off. I have been advised by other insurers that we can not take a life policy out for my husband, who has since had lymphoma, and the only option is to take out a funeral plan. We are devastated at not being aware of what we had, and at now not having insurance for him.

ihateyes

CurvyPenelope wrote: »

My husband and I purchased life insurance from Lloyds TSB, assuming it was for full life, my husband was 70, and I was 46. On checking our bank account in December 2011 we realised that payment for my husband's policy had not been taken and we contacted Lloyds to find out why and were advised that we had taken policies that ended when we were 75. We were both unaware of this at the time of taking the policies as we thought the policies were for whole of life. Is there anything we can do or do we just write this off. I have been advised by other insurers that we can not take a life policy out for my husband, who has since had lymphoma, and the only option is to take out a funeral plan. We are devastated at not being aware of what we had, and at now not having insurance for him.

Regardless of how you take out the policy, the terms and conditions are posted out, it is then your responsibility to read them and understand what is meant in those documents.

in what you have posted above, i would say its not a missell. you have simply chosen the incorrect policy for your needs.

Now if an agent sold it on the basis it ran til death, then that would be a missell.

dunstonh

assuming it was for full life

An assumption is not a mis-sale. You would need to look at the documentation.

were advised that we had taken policies that ended when we were 75.

Most pure term assurances do end by 70-75.

We were both unaware of this at the time of taking the policies as we thought the policies were for whole of life.

Does any of your documentation say whole of life? They key documents being the personal illustration and the suitability report.

We are devastated at not being aware of what we had, and at now not having insurance for him.

Do you have a financial need for whole of life assurance?
Would you have been able to afford it? (probably around 5-10x more expensive than what you were paying with the term assurance)

If the documentation states whole of life then it is an error. If it states term assurance then it is not an error. IIRC, Lloyds Whole Of life assurance was an investment class product that could only be advised via their full financial advisers. The term assurance could be done by the financial adviser and a number of their protection only advisers.