Tel: 01208 872689
Policy holders denied payout
Prudential, Britain’s second largest insurer, has informed its policyholders and shareholders that it will not pay out some of the £8.7 billion of excess capital from it’s with profits fund to them as had been previously assumed.
The cash comes from the surplus that builds up in a fund over time. The Pru’s UK chief executive, Nick Prettejohn, said that the average pay out for each recipient would be in the region of £25 and that “after comprehensive and extremely complex analysis” it’s model of operation for the with profits funds would remain the same, arguing that insurers need the excess capital to maintain healthy and secure funds.
Executives at the Prudential went through rigorous questioning by the Commons Treasury Select Committee. The Financial Services Authority has also begun a review that may prevent insurers from using inherited estates to pay miss selling claims, something the Pru has done with £1.6 billion so far.
The information contained within these news articles may include reference to taxation, legislation, regulation and other issues or concerns that may no longer apply.
Your property may be repossessed if you do not keep up repayments on your mortgage.
For more information on how we are paid for mortgages please click here.Grovelawn Financial Services, 1C Restormel Industrial Estate, Liddicoat Road, Lostwithial PL22 0HD — T: 01208 872689
Grovelawn Financial Services is a trading style of Grovelawn Limited
Grovelawn Limited is Registered in England & Wales number 5030300. Registered Address: 98 Station Road, Sidcup, Kent, DA15 7BY.
Consumer Credit Licence Number: 573287