Norwich Union (Aviva) Section 32 mis-selling on benefit indexation

M_j_t

So Towag I'm saying :-

I also believe that there is one important aspect that has not been acknowledged by Aviva. That is that in my complaint I have the expectation of d):-

Apply the provisions set out in Section 7 appropriately , allowing the Guaranteed Minimum Pension and the Widow’s Guaranteed Minimum Pension to increase annually according to the policy

The relevant part of section 7 states:-

Provision may be made for all or any pensions purchased under this Condition to increase at a percentage rate not exceeding in total 8.5% compound from each anniversary of the Benefit Date or the Substitute Benefit date provided that no pension may exceed whichever is appropriate of the Maximum Pension, Maximum Widow’s Pension or Maximum Dependent’s Pension increased by the accumulated increase in the Retail Price Index published in the calendar month preceding the month in which the Benefit Date or Substitute Benefit Date occurred or by 3% compound per annum whichever is the greater less in the case of a pension payable to the Insured the pension equivalent of any cash sum taken at the Benefit date or Substitute Benefit Date.

The quotation appears to contradict this in that it is split into two separate amounts, a pre 1988 amount of £910.44 with a yearly increase of 0% and a post 1988 amount of £881.04 with a yearly increase of 3%. From the above I believe that this should in fact be a single amount of £1791.48 increasing yearly at the Retail Price Index with a minimum of 3% and a maximum of 8.5%.

Is that a suitable way for a coward to complain about the issue that you have so clearly explained? :D:D

P.S. I've been told not that I have insufficient funds but that I am not funded.

[FONT=&quot]I’ve checked with our actuarial department, and can confirm policy ET?????? is, as you suspected, not funded.[/FONT]

towag

M_j_t wrote: »

So Towag I'm saying :-

Is that a suitable way for a coward to complain about the issue that you have so clearly explained? :D:D

P.S. I've been told not that I have insufficient funds but that I am not funded.

So you believe everything that Aviva quote you... Fine... Thats your prerogative.... Good luck....:cool::T:D

M_j_t

So you believe everything that Aviva quote you... Fine... Thats your prerogative.... Good luck..

Of course I do, there's so much evidence on here that I never questioned a word of what Aviva say and of course where would luck come in when it's all down to what is written by Aviva?

towag

M_j_t wrote: »

Of course I do, there's so much evidence on here that I never questioned a word of what Aviva say and of course where would luck come in when it's all down to what is written by Aviva?

:cool: Fine for you, but I would hazard a good guess that many reading your posts would completely disagree with you... You must be a fan of Aviva, their "products" and neglect of these Section 32 policies bought out from Norwich Union during the early part of this century....

Ian_Macfrugall

I have this exact same issue with a denial of my stated EPR because there are insuficient funds. Is it worth complaining?

Ian_Macfrugall

Oh dear I seem to have missed the boat on this debate as nobody is responding! Dissapointed ��

xylophone

Oh dear I seem to have missed the boat on this debate as nobody is responding! Dissapointed ��

It has been debated to death? See above and previous threads.

https://forums.moneysavingexpert.com/discussion/comment/72173287#Comment_72173287

https://www.ftadviser.com/pensions/2017/05/10/aviva-pension-policy-complaint-dismissed/

But if you think you have a case then you should go ahead and make your complaint.

waterstar

I know there are various threads re Aviva s32 on the forum and one or other gets reactivated from time to time. This seems to be the thread which has had posts most recently, so posting here.

Recently the ombudsman (FOS) has upheld a complaint that a client was given “fundamentally bad advice” by an adviser to transfer out of a company pension nearly 30 years ago (in 1989) to a Norwich Union s32. FOS had an actuarial calculation performed and worked out the losses as approximately £300k, although FOS could only order £100,000 in redress with a recommendation the firm pay the balance of what is left of the pension losses, but this is not binding.

From what i have read this claim has been in process since about 2003, however when you read the adjudication (48 pages!) the reduction in pension income in terms of the s32 outcome versus the deferred pension outcome seems to be of a similar order of magnitude to that which many posters on this forum have hinted at or disclosed in their own cases.

News report is at

https://www.moneymarketing.co.uk/ombudsman-upholds-complaint-1989-pension-transfer/

Adjudication is at

http://www.ombudsman-decisions.org.uk/viewPDF.aspx?FileID=158628