A banking group with pockets as deep as BNP Paribas should never have allowed the collapse of 2,600 Cardif Pinnacle income protection policies, says Paymentcare managing director Shane Craig.But BNP Paribas says that although it owns Pinnacle outright, it is a stand-alone ins-urer within the group. As reported in Money Marketing on June 30, workers were left unprotected last month after their cover was abruptly withdrawn by Cardif Pinnacle which said it was overwhelmed with claims. A statement from Cardif Pinnacle explained it would cease offering IP to SalaryProtect customers “due to underwriting losses”. Rivals Paymentcare and British Insurance have already stepped up to offer cover to those abandoned by Pinn- acle, although terms may be different. Formed in 1971, Cardif Pinnacle is part of BNP Paribas Group which has pushed the creditor, warranty and special risks insurer to expand its insurance business outside the UK, with operations now running in Ireland, Sweden and South Africa. Craig says: “People thought that they were going to a reputable company. “BNP Paribas has put profits before people. We are extending cover to anyone who was covered by Salary- Protect so they are not effectively left as refugees with- out cover.” A BNP Paribas spokesperson says: “We are the parent company and the Cardif Pinnacle insurance side has little to do with us.”
IFAs are putting their professional indemnity cover at risk by failing to disclose issues raised during FSA visits, warns the managing director of PI broker Collegiate. Tony Howe says many IFAs are burying their heads in the sand and not providing full information on renewal forms. But he warns that this could make renewal more […]
The Scottish Widows guaranteed investment bond is a FTSE 100-linked guaranteed equity bond with a term of five years and six months.
IFAs must refocus the training of their staff to help embed the FSA’s treating customers fairly requirements in their business, says Barclays Financial Planning commercial director Stephen Ingledew. Ingledew says many firms have traditionally focused their training on technical and product issues rather than on developing the softer skills that would enable them to deal […]
Proposed changes to the calculation of pension transfer values could benefit departing employees while reducing the benefits payable to remaining members, says First Actuarial. The actuarial boutique is concerned that proposals from the Institute of Actuaries will also introduce new levels of complexity that will impact negatively on occupational schemes. The Institute of Actuaries is […]
The world’s strongest currency in November was not the US dollar, despite the greenback rallying 3.5% against the euro, 8.7% against the Japanese yen and over 8.6% versus the Mexican peso and the Turkish lira up to yesterday’s close. The strongest currency last month was sterling, which had strengthened 2.2% versus even the mighty US […]
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- Top trends
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Two company directors have been disqualified for a combined 20 years after running a fine wine investment scam that lost investors nearly £1m. An Insolvency Service investigation found that Crimson Fine Wines cold-called customers and then did not purchase or allocate wines to those who had paid for their investments. The investment scheme offered investors […]
AJ Bell has won a case against a client who wanted his platform fees for the past 14 years reduced. A client, referred to as Mr N, complained to the Pensions Ombudsman that, because he did not have enough information about what fees would be payable, he sold a property holding in his Sipp far […]