Whole-of-Life Decision Reference 2022-0219

• Case Outcome: Rejected
• Reference: 2022-0219
• Date: 29 June 2022
• Year: 2022
• Subject Matter: Whole-of-Life
• Finantial Sector: Insurance
• Conducts Complained Of: Premium rate increases ,Failure to explain/understand index linking, Results of policy review/failure to notify of policy reviews

Decision Ref:

2022-0219

Sector:

Insurance

Product / Service:

Whole-of-Life

Conduct(s) complained of:

Premium rate increases

Results of policy review/failure to notify of policy

reviews

Failure to explain/understand index linking

Outcome:

Rejected

LEGALLY BINDING DECISION OF THE FINANCIAL SERVICES AND PENSIONS OMBUDSMAN

The Complainant and her late husband incepted a Life Inheritance Protection Policy with

the Provider on 14 March 1989. At the time, this policy provided them with life cover benefit

payable upon the death of the second life assured in the amount of IR £200,000.00/

€253,948.00 (two hundred and fifty-three thousand nine hundred and forty-eight Euro)

for an initial annual premium of IR £4,563.20 (€5,794.07).

The Complainant’s late husband died on [date redacted].

The Complainant wrote to the Provider in December 2014 instructing it to terminate the

policy and it issued her with the policy surrender value of €540.05 (five hundred and forty

Euro and five cent) in January 2015.

The complaint is that in 2014 the Provider acted outside the original terms and conditions

of the Life Inheritance Protection Policy by seeking to increase significantly the monthly

premium or reduce significantly the level of life cover benefit and in so doing, the Provider

wrongfully forced the Complainant to surrender the policy.