Anyone ever contested an endowment complaint offer?

onoroff

Original policy for £30k taken out with L&G in '92. I still have the original illustration with the adviser's yellow highlighting the £30k plus a cash surplus of £11k.

Recommended top-up policy taken out in '99 (premiums >60% of originals!) after receiving red shortfall letter.

Complaint deadline Nov '14, so discussed over phone and offer received. Findings state "I have noted that the adviser recommended that you take out an endowment policy even though you were not taking out a mortgage loan at the same time. There is no clear justification for this, I therefore believe that your policy was unnecessary". Summary states "I have concluded that you did not require the policies. Therefore, my offer will place you in the position you would have been in had you never taken out the policies".

Original Policy:
Refund of all premiums paid: £10022
Net interest on the refund: £6957
Total compensation offer: £16979
Current surrender value, by comparison: £14680

Top-up Policy:
Refund of all premiums paid: £4256
Net interest on the refund: £1978
Total compensation offer: £6234
Current surrender value, by comparison: £5985

Hmm, decisions, decisions:
1) Should I contest the offer?
2) Should I just accept the offer and cash in?
3) Given that only 3 years remain until maturity, should I hang on and hope that the value is higher yet - though that would need to be higher than the total offer of £23213 plus the remaining premiums of £2295.

I'm thinking option 2, but would appreciate any advice, thanks.

PeacefulWaters

There's nothing to contest.

It's a regulatory formula. Unless you can show that they've done their sums wrong it won't change.

Take the offer.