Cancellation of policy once mortgage paid off

WidowTwanky_2

Good morning. Mortgage finally paid off and so I want to cancel my life insurance. There's no need for it as there are no dependents. The broker received £2,626.55 when they signed me up to L&G. When I cancel, will this mean I have to pay some kind of fee? Many thanks.

TELLIT01

The only way to get an answer to that is to contact the insurer.

WidowTwanky_2

The insurer says that you need to go to the broker. I've emailed a couple of times, so I'm just waiting for a reply.

Aretnap

Usually there will be some type of clawback if the commission if you cancel within the first few years of the policy. If it has been running for many years then you should be able to cancel fee free. This should be detailed in the paperwork you single when you took out the policy (of you can find it all).

dunstonh

When I cancel, will this mean I have to pay some kind of fee? 

Did you sign a fee agreement?

Commission is not a fee.   However, sometimes, commission can be used to offset a fee.  In those cases, a fee agreement would be required and would have to give specific terms in respect of cancellation.

The longest clawback period is 4 years from inception.  After that, there is no clawback