I have a 15 year life endowment insurance policy maturing next July. I will have put £18000 into it by the time it matures and I have asked for a projection of the maturity value. I have been quoted £20400 excluding a final bonus. When I took this policy out in 1995 I was estimated £54000 by my insurance agent. As you may well guess I am absolutly gutted to find this out.

Royal London are now saying I can call in the Onbordsman or they will give me the option of paying back my £18000 with interest incured over the 15 years and compensation. Or the final option is to see it out till next July and hope my final bonus gives me a few thousand more. Don't know which way to turn. Has anybody else had such problems and made decisions regarding this?

Do you still have the paperwork showing projections etc? Was it to cover a mortgage?

When mine matured my terminal bonus was something like 33% of the maturity value so it might not be as completely desperate as you first thought. Plus, whilst you might have paid £18k into it, there will also be a cost taken straight off that for the life cover

Hi,

it was nothing to do with a mortage it was just a savings thing so I'm at my wits end as I thought this was going to make my life a little bit easier in my later years.

Westmidsman

Thanks for you reply. When did your policy mature? Was it this year or a while ago. My worry is that I have contacted Royal London and they are telling me the options and I feel that I don't trust them as they are pushing me to the pay back of 18,000 and interest plus compensation option. Even so its a lot short of the £54,000 I was told 15 years ago.

I have no paper work to support this but the person who sold me this is a friend of mine who says that at the time this was the projection and Royal Londin have agreed that at the time it was a real projection so I don't know which way to go.

To update I am now being asked to fill in a form explaining why I feel agrieved over the projected short fall. Has anybody been through the same process.I feel the questions are loaded to catch me out.

To update I am now being asked to fill in a form explaining why I feel agrieved over the projected short fall. Has anybody been through the same process.I feel the questions are loaded to catch me out.

They are asking you why you feel aggrieved????????

How about the fact that when you were sold the policy you were shown all kinds of projections and given all kinds of guarantees about how much the 15 year policy would be worth on maturity, so for the past 14 years you have been happily paying into that fund believing that upon maturity you would have just over £50,000, you had earmarked this money for and now your expectations have been shattered. If you had had any advance warning that maturity payout would be little more than you had put in then you would have taken action in the form of making alternate provision to get you to your need and desire for the stated sum at the end of the period.

You are also aggrieved at taking them at their word in believing their promises about final value because you trusted them, you thought they were a reputable company and not one that employed liars who promised the earth just to get a sale of a new policy.

You are also aggrieved because of the stress that you now face and endure because of their actions.

Mossy

Thanks Mossy

I am a bit soft on these issues and your advice has made me think a bit harder about my problem