Re: Why do financial consultants have a bad repuation.

Standard Life Norwich Union Sun Life Clerical Medical Eagle Star Prudential

Not even if they're guarantors?

In article , john boyle writes

Well if Eagle Star managed it surely just about everyone must have done.

In article , john boyle writes

The pension scheme could be changed, she could change jobs, the company could fold etc.

I think it's partly that failing to sell insurance to someone who does need it could be extremely bad and could easily lead to legal action for bad advice, so advisors are likely to err on the side of caution. For example, if someone is single but gets married a few months later and has children a year after that, they might well be able to sue on the grounds that the advisor should have forseen that that was likely, even if they told the advisor that they had no plans to marry at the time.

Well, obviously, as I said before, like, all credit to repetition, but at the end of the dah, no matter how often you say it, I do not believe it to be so.

In message , Thom Baguley writes

What regulator? Term assurance isnt a regulated product.

Does that mean the FSA can't deal with it as part of a linked product like an endowment?

Thom

If you're talking about a term assurance policy, at the moment (until regulation changes next year), it depends on who sold it, if it was sold by a non regulated adviser then by definition "non regulated" it is outside the scope of the regulators, if however it was sold by an appointed rep for instance who is regulated, the product then becomes regulated and yes it can be looked at.

If however you mean the integral life cover of an endowment, it is not separate from the endowment, so the whole policy itself is either suitable or not, and it's not as simple as saying that somebody is single so no life cover is needed so can't have endowment, they may want to leave an unencombered property to their relatives/partners or friends on death, they may want to ensure that when the do get married/become parents it's already in place etc.

Arfie

Maybe true, but still pretty feeble as a sales pitch and in practice c**p (as AFAICT few endowment salespeople ever ask the relevant questions to determine the suitability in these cases) . In my experience a good proportion of people sold endowments don't understand that some of their monthly payment is going on life insurance. I've yet to meet someone who can tell me what proportion goes on the insurance element and therefore could check whether the insurance element is good value.

Thom