Late mother’s life insurance and not in ‘trust’

Nolcat

Could anyone advise on the issue below?

My mother passed away earlier this year.   She was quite well organised and left a folder with lots of paperwork.  This included details of a life insurance policy she took out in 2017 with the intention of it paying out to me in the event of her death to offer some financial support at a difficult time.

Letters show she used a firm to advise her (have a letter and doc summarising discussions and needs) and that the final recommended product was a L&G policy. 

A further letter issued also enclosed details on discretionary trust and indicated to her that someone would follow up to ascertain if that is something she wanted in place.

L&G have confirmed no trust in place. 

Therefore the money is technically part of the estate and will have to go to pay off some debt with the remainder technically going to my father as per Mum’s will.

From the notes she left and the correspondence I have between her and the broker, it is clear what her intent was.

I contacted the company to ask for more information and to see if they had any further communication with mum on this aspect after the letters confirming the product etc but after some delay (they had to look in their archive) they have said she must not have pursued it as nothing on record/file.   I asked them to confirm if any further correspondence to her after their last letter and they have said no.  To me, it feels like they failed to follow up with her and that ultimately what they sold her wasn’t therefore truly meeting her needs (which they clearly discussed with her in some detail).

can anyone advise if this sounds right/acceptable?

Is there any avenue or point in pursuing this in any way (eg FCA or solicitor)?

This is all new territory for me and as an only child and the one handling all the admin, I’m honestly not sure.  I only know what my mother clearly intended and want to make sure I have done everything right and not missed anything.

Had the company been able to evidence further communications in which Mum declined this option of trust, I would accept that.  The response I got though seemed a bit vague which is why I’m seeking advice/opinions of others.  

Thank you 

Brie

So you're saying that there's an insurance policy set up with L&G but not with you as beneficiary?  

Sorry for your loss but how nice to hear she was reasonably well organized.  So many of us aren't and leave an absolute tangle for others to unravel.

Nolcat

I can see me named in the needs analysis they did with the broker.  She has clearly written on the folder with the paperwork that it is to be payable to me so can only deduce from those things that this was her intention and most likely her belief.  I don’t see me named in the paperwork relating to the policy specifically from L&G as a beneficiary, no. 

They have paid out to me as I’m also named as executor in her will but I have the money now sitting aside until I understand this all a bit better.

thanks 

tacpot12

While they failed to follow up with her about putting the policy in trust and naming an beneficiary, she assessed her needs and sold her something that would meet her needs for life insurance. Even if she clearly expressed her need as being a life insurance policy whose payout would not come into her estate, they didn't mis-sell her the policy as it was capable of being written in trust. Every life policy I had have has required the policy holder to complete and sign a form nominating the beneficiary and requesting that the trustees pay out the policy to that nominated beneficiary. She doesn't appear to have done so, so I can't see that you can argue that the money shouldn't come into her estate.