Excess Life cover charges associated with mortgage Endowment policy

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.


  • DullGreyGuy
    DullGreyGuy Posts: 9,182
    First Anniversary First Post 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


  • All Categories
  • 341.8K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449.2K Spending & Discounts
  • 233.9K Work, Benefits & Business
  • 606.1K Mortgages, Homes & Bills
  • 172.5K Life & Family
  • 246.8K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards