Assurance company payout

beekeeper39

I reviewed a letter today from an assurance company. They say they want £7400 from me because they claim the money they paid me in 2023 was also paid to me in 2006? I definitely had the money in 2023, but have no record or recollection of receiving the same sum in 2006. They say it's their mistake, but still want the money back. How can I handle this, it's a lot of money, and I don't have that amount available. Any advice would be most gratefully received...

beekeeper39

Received (not reviewed)

Mark_d

I would state that you do not recall receiving the payout in 2006 and ask for evidence of this payment in 2006.  If it is establish that a payment was successfully made to you in 2006, then you can explain that you're currently unable to pay back the lump sum immediately.  Maybe you can repay the amount in instalments.

Aylesbury_Duck

Ask for evidence that they paid you in 2006.  If they cant provide it, don't give them any money.  If they did pay you, you'll have to arrange a payment plan.

Okell

beekeeper39 said:

I reviewed a letter today from an assurance company. They say they want £7400 from me because they claim the money they paid me in 2023 was also paid to me in 2006? I definitely had the money in 2023, but have no record or recollection of receiving the same sum in 2006. They say it's their mistake, but still want the money back. How can I handle this, it's a lot of money, and I don't have that amount available. Any advice would be most gratefully received...

Insurance or assurance?

What was the payout for?

Brie

If they can prove that you were paid twice be sure to mention that they are the ones that made the mistake.  

Ectophile

I suspect that the Limitation Act https://www.legislation.gov.uk/ukpga/1980/58/contents would apply to this claim.  But I'm not enough of a legal expert to work out which section.

If that's the case, there's nothing they can do to recover the money.

lincroft1710

Ectophile said:

I suspect that the Limitation Act https://www.legislation.gov.uk/ukpga/1980/58/contents would apply to this claim.  But I'm not enough of a legal expert to work out which section.

If that's the case, there's nothing they can do to recover the money.

The company would claim that the money was erroneously paid out in 2023 and , the 2006 payout was the correct one.

PHK

Okell said:

beekeeper39 said:

I reviewed a letter today from an assurance company. They say they want £7400 from me because they claim the money they paid me in 2023 was also paid to me in 2006? I definitely had the money in 2023, but have no record or recollection of receiving the same sum in 2006. They say it's their mistake, but still want the money back. How can I handle this, it's a lot of money, and I don't have that amount available. Any advice would be most gratefully received...

Insurance or assurance?

What was the payout for?

This is an important question. It's sounds to me like life assurance. Sometimes the person whose life is assured cancels getting a payout. Then some years later a relative finds the documents and claims (if the assurance company has changed hands multiple times then records can be hard to locate) A company will payout asking the claimant to sign a waiver. 

OP can you let us know?

beekeeper39

The payout was for an endowment plan taken out on a mortgage many, many years ago.  The letter in 2023 said the payment cheque was never cashed.  I suspect because I had moved several times, because the letter also said they had not been able to trace me.  I accepted the payment in good faith (in 2023).  I have no record, or recollection of a payment in 2006, I'm sure I would have remembered that!  The payment in 2023 was made by one company, and the letter asking for the money back is from another company.  On investigation I discovered the current company had taken over the previous company.  I assume I'm not allowed to name them on here.  I've managed to get statements for 2006 from one of my banks, and my other bank is retrieving them from their archives, so will take a week or two to get.  It's a real concern, £7400 is a lot of money, and I don't have that sum lying around.  Following advice on here, I'll be asking the company to provide proof that the payment was made in 2006.  In the meantime I'll wait for the bank statements to see if I really did receive the payment in 2006.

Aylesbury_Duck

beekeeper39 said:

The payout was for an endowment plan taken out on a mortgage many, many years ago.  The letter in 2023 said the payment cheque was never cashed.  I suspect because I had moved several times, because the letter also said they had not been able to trace me.  I accepted the payment in good faith (in 2023).  I have no record, or recollection of a payment in 2006, I'm sure I would have remembered that!  The payment in 2023 was made by one company, and the letter asking for the money back is from another company.  On investigation I discovered the current company had taken over the previous company.  I assume I'm not allowed to name them on here.  I've managed to get statements for 2006 from one of my banks, and my other bank is retrieving them from their archives, so will take a week or two to get.  It's a real concern, £7400 is a lot of money, and I don't have that sum lying around.  Following advice on here, I'll be asking the company to provide proof that the payment was made in 2006.  In the meantime I'll wait for the bank statements to see if I really did receive the payment in 2006.

It sounds like you weren't expecting to receive £7400 when it landed in 2023.  How closely do/did you check your statements?  Is it possible you didn't notice £7400 landing in 2006?

Anyway, you're doing all you can do.  If you did receive the money in 2006, you do owe it but the company can't insist you pay it all in one go.  You'd have to work out a mutually agreeable repayment plan.  At least you should have had some interest or investment growth from the money since you've had it.