We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Excess Life cover charges associated with mortgage Endowment policy

Options
I have recently been contacted by Aviva indicating after a review of my policy they've identified some of the charges deducted for the Life cover on my mortgage endowment policy were incorrect. As a result the value paid at maturity on Jun.2009 was less than it should have been. They've apologised for their mistake and sent a cheque to cover the their assessed error including interest at bank rate plus 1%.
My original policy was with Sun Alliance who then became Phoenix and now under Aviva. 
I have requested a breakdown of the excess charges and details of how they have applied the interest. They seem reluctant to provide this information, just saying it has been calculated by their actuaries.
Am I entitled to receive the requested breakdown and if so how do I get them to provide it.

Comments

  • DullGreyGuy
    DullGreyGuy Posts: 18,613 Forumite
    10,000 Posts Second Anniversary Name Dropper
    The one redress programme I was involved in one of the big 4 consultancies created an actuarial model with a user interface which was tested with thousands of cases some of which should have been compensated and some shouldn't be. All of this was presented to the FCA's appointed expert who signed it off as appropriate.

    For the people doing the job thereafter it was a case of putting the facts in the front end and it came out with a determination at the back end. The agents doing the keying after a while got moderately good at predicting the outcome but exceptionally few knew the full formula being applied by the engine. This was to look at hundreds of thousands possibly incorrectly setup policies, no idea of the scale of the Aviva issue.


    You can put a complaint in if you really want to see it. It may not be possible to extract the steps from the tool they've (had) built but they may be willing to have someone manually calculate it for you. Of cause you'll need to be clear what financial loss or distress its causing you by not being able to see the calculations on what sounds like unexpected free money. 
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.6K Spending & Discounts
  • 244K Work, Benefits & Business
  • 599K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.