Legal & General endowment

sm1862

I have a L&G endowment with profits taken out in 1993 to cover £60k
Basic sum assured £24,830
Life cover £65k
Bonus rate for 2014 1.25%
Bonus added for 2014 £454.70
Bonus rate 1.25%
Total, sum assured + existing and annul bonus = £36834.30 (surrender Appx £35k)
Monthly payment it £170 per month.
Maturity July 2017


Over the next 2+ year we will pay in c £4200 (appx £3000 after factoring life insurance)


Seeing as this is only adding max £500 per year is it worth continuing? Can anyone give me an idea on what sort of figure the final bonus may be please. I know its the million dollar question, what are typical rates at the moment please. I really don't think its worth paying £3000 in to get less than that out.


your thoughts would be greatly appreciated.


S

colin13

we had legal and general endowment just matured,£8000 shortfall,,if u can change it i would deffo give it serious thought,,we were conned by endowments

dunstonh

Seeing as this is only adding max £500 per year is it worth continuing?

How much have you factored in for the basic sum assured? (as that is added on day one but only applies if held until maturity).
You also don't appear to have factored in the final bonus changes over the year either.

Can anyone give me an idea on what sort of figure the final bonus may be please.

Impossible to say as each policy is unique. However, L&G can tell you how much has accrued to date.

what are typical rates at the moment please.

There is no typical rate as it depends on timescale, target growth rates, cost of life cover etc. So, people will have plans which vary considerably. hence, its better to work on the real figure and not someone elses.

I really don't think its worth paying £3000 in to get less than that out.

You would lose almost £2k on surrender according to your figures and the figures are incomplete. So, the difference may not be what you think it is.