Zurich Life Ins - increased PCM £36 to £166!!

[onestressedwoman]

Uncle Bulgaria a life insurance that has an end of term payout ?

 

Never heard of such a thing I'm sure this has no cash value

 

If I'm wrong or I read your post incorrectly please do let me know

 

Dotty re post tomorrow evening when he has spoken to them - he's not a telephone person so will have to do it when back @ 4 so I'm here to overlook conversation

 

FINGERS CROSSED

[Dotty50]

http://www.comparethenation.com/life-insurance-with-cash-in-value/

 

You read it correctly

[p3t3r]

hi Dotty, I did say it was a long shot... and posted that before you, UncleBulgaria and others provided better advice.

mis sold from 2006 onwards, when the guaranteed premiums started. each year renewal, (such as this year renewal and premiums have increased significantly), so possibly mis-sold from that point in time each and every year. or maybe im totally wrong, i did say it was a long shot!

[Dotty50]

Yes I did see that you put that it was a long shot and I see where you are coming from with the introduction of guaranteed premiums.

 

The renewal option only becomes available at the end of the original term, not on a annual basis (as far as we are aware at the moment)

 

This option could be very useful for someone who has health issues because it would not require any medical investigations to continue with the cover.

 

I agree that the hike in payments is a lot but it is only if this cover continues on the same basis. There may be other options, like reducing the amount of cover but this is when an expert is needed, who knows the market and is able to consider what the policy holder needs now (20 ish years later) and can compare.

 

Uncle bulgaria said that there are people on MSE that could assist so that's worth checking out.

[onestressedwoman]

HI ya

 

Well didn't get to phone them yesterday as flu hit the house - however

 

When we spoke to them today they are perplexed too - they say records show cover taken out in 2000 which can't be right and there is no way I would ever had taken out an insurance that only lasted 15 years at the age of 30

 

The original cover was taken out with Allied Dunbar (spelling) they also said that we have an IFA who is attached to our insurances NEWS TO ME !

 

And he is also adding a commission on top of premium I don't even know this man so my paperwork some how really doesn't add up.

 

The young man I spoke to was really good and is requesting a copy of original paperwork for us (Dotty you'll be pleased to hear that hes also sending a copy of the other life insurance I was posting about months and months ago keep fingers crossed on that one if it has critical illness cover I will be over joyed)

 

He has already extended out time to respond 30 days for usual allowance and a further 30 days to get these problems sorted

 

Even gave me a direct line number for him so I don't have to have the same conversation 20 times.

 

Cut a long story short they are recalculating the premium and also calculating a whole of life policy to give me options

 

So no answers yet but at least we have a little breathing space - He was shocked also at the increase but think this may have had something to do with the unknown IFA

 

I am more relaxed but quite annoyed that someone has managed to be our IFA without us even knowing him dodgey dealings somewhere here will need further investigation but primary concern is making sure we have something in place.

 

He also said i should check out MSE

[Dotty50]

That sounds like a good start!

 

Do you remember how you started the plan/s?

 

If an adviser did them, they will be linked to the plan from outset and take a commission depending on what the conditions were when you started them.

 

If there is an IFA, Zurich should give you the name of them, which may jog your memory.

 

Bear in mind that an adviser could have been in a building society or bank and not necessarily independent.

 

Keep us updated.

[onestressedwoman]

Totally remember the day and conversation that I had the day we took cover out

 

Thing is, things worked differently then to now - I went into Allied Dunbar (someone please tell me how to spell that) itself and took out policies so it was them the actually company that did paperwork so it like me going to sign with Zurich itself so there was no IFA attached the company sold me the policies.

 

Its only going to make things more difficult to sort out as not only is it complicated but the documents will have been paper not digital not to mention the company changing to Zurich

 

He gave me the mans name and "mobile number no landline listed) and the man has a very unforgettable name WISH I COULD WRITE IT but its a name you would never hear so I know definitely I have never spoken to nor met anyone of that name

 

I HATE PAPERWORK

[Dotty50]

Allied Dunbar is the correct spelling.

 

I imagine there would have been some sort of incentive for employees to sell and attain targets!

 

We're still in the dark until you have some paperwork so let's hope you get it soon.

[onestressedwoman]

Dotty - he said his system said poilcy taken out in 2000 with Allied Dunbar - ha ! The contract can't have started on 2000 as Allied Dunbar was defunct in 1998 - which goes with what I was saying sure it was '97-98' I took it out

[unclebulgaria67]

As I said earlier, this will be down to an IT system change. There would have been migration of information from AD to Zurich, which would have taken some time. 2000 will be default date applied to the inception date field, when the data migration failed to pick up the correct date.

Back in 2000 or 2001, when your policy record was officially transferred over to Zurich, you should have been sent a letter with a document containing all of the data they held for you.

It should have asked you to check that all of the information was correct and if not to contact Zurich for it to be corrected. ( I am guessing this would have happened, as I have had some responsibilities for IT changes in these circumstances at other Insurance companies. It is a standard practice within the Insurance industry)

In regard to the IFA name, this would have been a default AD IFA name applied when the data was transferred to Zurich. It would not be the IFA you dealt with, but probably a senior IFA at AD, at the time Zurich added the policy to their systems.

Hope this makes sense. It is a logical explanation of what has happened, based on my experience.

Zurich should be able to resolve, once they have obtained your original documentation.

[onestressedwoman]

Sounds about right uncle Bulgaria but no documents received with any info when changed to Zurich - maybe because I changed addresses twice in 2000/2001 -

 

So really they have made up a hyperthetical term for this policy well it seems like it if not then seriously missold who in their right mind would take out a 15 year life insurance policy at the age of 30

 

Also when I was 18 government suggested we opt out of serps and my boss sent me to AD (His daughter worked there) to do opt out paperwork (I did as I was told didn't have a clue what it was about at aged 18) this was transfered to Zurich too and for docs apparently I have a HUGE pension pot of £300 a year at retirement ??? :/ my life with AD/Zurich great stuff hey

[Dotty50]

If you didn't get the letter advising the change back in 2000, I wonder if this would be produced with a SAR?

 

I would still wait until you get something from them to look at.

[onestressedwoman]

Well here we go - received a outline of policy schedule - however it's not the original document - no signature and it's dated 2000 and we know that can't be right because allied Dunbar was defunct at this date

 

Where do I do from here

[unclebulgaria67]

The original paperwork from Dunbar will be in some storage warehouse somewhere and obviously they can't easily retrieve it.

Think you would need to make a formal complaint about what has happened and say that they are holding wrong data, which has caused the latest renewal premium to increase substantially for no apparent reason.

Make the point that you took out the policy with Allied Dunbar in around 1997/98 and want to know what happened to the data records plus the documents from the original policy arrangement. You believe the Zurich have had incorrect data added to their systems when the policy was transferred to them from AD.

You should in the meantime look to arrange cover elsewhere. The Moneysavingexpert site has some information about Life Assurance and it may be worth reading that. You can go direct to companies and don't need to use a local independent financial advisors who would charge you for their services.

Nb. What Zurich have sent you might be the first document they issued, when taking over from AD.

[onestressedwoman]

Can't have been transferred document because the term is not right - oh the delights of paperwork

[unclebulgaria67]

You need them to go back through the data to see what has happened. I suspect you would have picked up the error earlier, has the premium increase happened years back. It was only the sudden increase in premium which has made you check the information.

You may need to make the complaint to someone senior at Zurich, otherwise you may get someone who can't be bothered spending hours looking into this. They may just tell you that the information is correct and they cannot find anything to back up what you have said regarding the inception date of the policy.

Many of the Zurich staff may not have worked for them back in 2000, so they may not know what happened with AD policies transferred to them.

[onestressedwoman]

Only picked up error because of huge increase - either way this document said sum insured 64k can't see under any circumstances it raising to 212k in this period

 

But .... I have always paid premium via same bank account probably can trace origin data from that but formal complaint is they only way to find a resolve I think

[Dotty50]

I agree with unclebulgaria, it seems that a formal complaint needs to be sent asap, it will have to be dealt with officially and under strict timescales and guidelines.

 

You mentioned that there wasn't a signature on the 'policy' that they sent. A policy schedule is simply confirmation of the cover you have bought, sum assured, term & repayments etc and it isn't something where a signature would be required.

 

Are you sure you can't find the original paperwork hidden in the attic?!

[onestressedwoman]

Dotty I know I have the paperwork theres no paperwork I haven't got ! Even ny first cheque book it's just finding it in the mountains of paperwork I've got and I mean mountains

 

I will make a foemal complaint on Monday via email so they have it on Tuesday

 

ivr got all our bank statements from 1995 payments will have been made from the old midland bank I think - but I can prove the first date of payment therefore start date will be exact and there is no way I took our a 15yr policy

 

Oooooooooo

 

It's so annoying ' why oh why does life create so much paperwork its adding to my mountain

[Dotty50]

It'll be the one time that hoarding came in useful!

 

Good luck with your mountaineering!

[onestressedwoman]

Dotty problem is getting me to do it - but my lord it has to be done