Equitable Life competition scheme condemned
The Parliamentary Ombudsman has today issued a damning indictment of the U.K.'s proposed £400 million payout to Equitable Life suffers, many of whom lost their life savings during the company's near collapse back in 2000. The £400 million compensation scheme, yet to be rubberstamped by the government, equates to just £266 per policyholder despite the fact that a recent report suggested losses for policyholders were between £4 billion and £4.8 billion. So is their new hope for Equitable Life suffers?
There is no doubt that the damning report from the Parliamentary Ombudsman will make the UK government sit up and listen but whether additional funding will be injected into the compensation package remains to be seen. This has taken 10 years to bring to fruition and even now there is great controversy regarding the level of compensation and the admission of guilt on behalf of the UK government. While there is no doubt that the near collapse of Equitable Life, and the massive losses which some customers experienced, were the result of guarantees set up by the company itself the regulatory system in the UK was also called into question.
Whether or not the government is able to introduce more money into the compensation scheme is a matter for discussion in the short to medium term but ultimately there is no way they will increase the compensation pot from £400 million to anywhere near the £4 billion estimated losses.
Insurance premiums on the up
The trend for falling home insurance premiums has come to an end and the cost of insurance overall in is on the up, according to the AA. The insurer blames this summer's flooding for the three per cent rise in home insurance premiums - the largest single increase the AA has recorded - and also reports a two per cent increase in home insurance premiums. "We now see the result of that devastation re...Read More
Life Insurance ‘Too Expensive’ for Brits
Research from Beagle Street has found that Brits are shunning life insurance policies in large numbers, because they believe it is ‘too expensive’ 39pc of people who took part in the research claimed they felt that life insurance policies cost too much, despite the fact that prices start from just £3 per month. This means that more than half of British adults are at risk of leaving their...Read More
Diabetes and Life Insurance
Life insurance policies for diabetics can be hard to obtain but they are still available. A major factor in the cost of obtaining a life insurance policy is how well an individual's condition is managed. With good blood glucose control, a healthy and active lifestyle and few complications, finding a good deal is achievable.
Diabetes falls into two major categories: Type 1 an...
Have you got wedding insurance for your big day?
While there has been a significant reduction in the number of weddings in the UK over the last decade the cost of the "big day" continues to rise each and every year. With the average wedding now costing a figure approaching £20,000 many people should be looking towards wedding day insurance to cover any potential problems on the big day and in the run-up to the big day.
Income tax and national insurance could be merged
22/07/2015 Income Tax and National Insurance could be merged into a single “earnings tax”, as chancellor George Osborne has commissioned a review into the simplification of the tax system. David Gauge, the Financial Secretary to the Treasury initiated the new review into the issue by writing to the Office for Tax Simplification (OTS). In the letter he referred to the parallel tax system...Read More