Charges for Endowment with CI

twobits

Hi,

Would anyone be able to advise on what is the normal or typical charge (%’age) for fees of an endowment policy with critical illness cover?

I have recently received my annual statement from my policy provider and they have changed the format in the way the statement is laid out. There are now sections in the statement which clearly state how much I have paid into the policy and how much in charges and costs have been taken out over the past year.

The amount the policy provider has charged me for 2019 equates to 85% of my payments! This high percentage of charges has come as quite a shock as I was not aware that the charges would be so high when I took out the endowment.

SonOf

Would anyone be able to advise on what is the normal or typical charge (%’age) for fees of an endowment policy with critical illness cover?

There are normally no additional fees for having CIC on an endowment. Just a difference in the premium.

I have recently received my annual statement from my policy provider and they have changed the format in the way the statement is laid out. There are now sections in the statement which clearly state how much I have paid into the policy and how much in charges and costs have been taken out over the past year.

That will normally show fund charges and product charges. Not a breakdown of the insurance premium.

The amount the policy provider has charged me for 2019 equates to 85% of my payments!

Not sure what the exclamation mark is for. You seem to think that there is something wrong with that but its unclear why you would think that is the case when that is perfectly normal.

This high percentage of charges has come as quite a shock as I was not aware that the charges would be so high when I took out the endowment.

You are not reading it right. The charges are against the value. Not the premium paid. How much is the charge as a percentage of the value?