Pension Protector insurance

Will_Ritson

Hi all

I've had a look on the forum and can't find a relevant existing topic for my query; apologies if I've missed a previous answer!

I was recently having a clear out of some old paperwork and discovered that what I understood to be an administration fee for my pension (Norwich Union, now Aviva) was actually Pension Protection Insurance. I took the pension out in 2004, facilitated by a financial adviser at what was Abbey National.

I've got a pretty solid record of correspondence - as far as I'm concerned it's all there dating back to opening the pension. Checking the paperwork I have a letter from Abbey stating what I had identified with the adviser as a priority - this confirms that any form of insurance cover was off the table, me being ineligible for most of it due to a medical condition. The pension insurance was added anyway and my recollection is that I was told it was an admin fee. There has been no further correspondence on this since the scheme was opened ten years ago.

I feel a bit ridiculous only noticing this over ten years later, but at the same time feel cheated that I've paid over £600 in fees for a product I stated that I didn't want.

Have I got a valid claim, and if so do I chase Aviva (who I pay) or Santander as the inheritor of Abbey?

Cheers

Will

dunstonh

The pension insurance was added anyway and my recollection is that I was told it was an admin fee. There has been no further correspondence on this since the scheme was opened ten years ago.

Waiver of premium is recommended as best advice to take out. It would never be documented as an admin fee and the personal illustrations would state what it was. The reason why letter should state it was recommended and if it was taken out. Waiver of premium is also medically underwritten at point of sale. i.e. they ask the medical questions at the start and acceptance is either given or refused at that time.

Have I got a valid claim, and if so do I chase Aviva (who I pay) or Santander as the inheritor of Abbey?

Nothing you have said indicates any wrong doing. You have poor recollection, which is understandable as it was a decade ago. So, reliance would be put on the documentation. The documentation would not support your allegation that it was a fee. The main thing is going to be the reasons why letter which should state that you have agreed/not agreed to take out waiver of premium. Generically, it is best advice to have it. So, is there a section on the letter that discusses that?

How serious is your medical condition? The application would have asked medical questions. If the condition was too severe then the insurer would reject waiver of premium. Its not like PPI where they look at these things when you claim. They look at the start instead it.

Will_Ritson

Thanks for the prompt comment - appreciated.

You're right about poor recollection, it was ten years ago and I was a more naive twenty-something, rather than pushing forty!!!

The medical condition is a heart defect that was rectified as an infant, but could have an impact later in life. I generally won't be accepted for any form of life insurance or am offered an impractical sky-high premium. It has no current impact on me, other than causing me to get puffed out very quickly if I'm playing sport.

I'll recheck my paperwork. Thank you for taking the time to reply.

dunstonh

I generally won't be accepted for any form of life insurance or am offered an impractical sky-high premium.

Waiver of premium is not affected by life expectancy issues. More about conditions that are likely to impact on your ability to work.

Look for references to waiver of premium or waiver of contribution in the letters regarding the advice as they are the commonly used generic names. You could ask Aviva if the health condition was disclosed at point of sale.