Mortgage & MPI Taken Through Broker

Dr_Pepper

My wife and I took out a mortgage in 2002 through a mortgage broker. At the same time they also arranged our MPPI, critical illness cover and term assurance with their preferred provider Legal & General, (they had L&G certificates on the walls of their office).

During the arrangement process we were told we would need all 3 of the above cover types to obtain our Northern Rock mortgage and we were not told we could shop around for other providers.

Does any of the above constitute mis-selling?

If so, would we complain to the broker or the insurance provider?

Any advise would be much appreciated.

dunstonh

During the arrangement process we were told we would need all 3 of the above cover types to obtain our Northern Rock mortgage

A very common model for mortgage brokers is that you must arrange your insurance via them to allow them to give free mortgage advice. That model is allowed as long as the insurance is suitable.

and we were not told we could shop around for other providers.

You are not required to be told that. And, as you have made clear, they were tied agents of L&G. In 2002, they would have had an initial terms of business issued at the time telling you that they were tied to L&G.

Does any of the above constitute mis-selling?

No. Even if they did push the "requirement" they had onto NR, you still had to have it. So, as long as the policies sold were suitable for your needs, then there is not likely to be a mis-sale there.

Dr_Pepper

Thank you for your reply dunstonh.