View more on these topics

Forester Life cuts ties with advisers after trail switch-off

Insurer Forester Life will no longer deal with advisers following the provider’s decision to cease paying trail commission earlier this year.

In April, the insurer confirmed it would stop paying advisers trail commission relating to the Children’s Mutual book of business.

The firm will instead pay out a non-negotiable lump sum of two years’ commission based on policies remaining in force until either
maturity or 30 April 2016, whichever is earlier.

A Forester Life spokeswoman says: “Following the decision in April, we no longer hold details of advisers.

“So in the interests of data security and ensuring we are dealing with the correct person, we will only discuss a valuation directly with the customer.”

Lifetime Financial Planning adviser Margaret Hill contacted Forester Life requesting all client valuations under her firm’s agency but was told her agency number was not recognised.

She says: “To tell me I cannot access my clients’ valuations when I am still trying to service those clients just strikes me as unacceptable.

“It shows no consideration for the clients, who have specifically used an adviser to deal with such affairs.”

Highclere Financial Services partner Alan Lakey says: “Forester Life is going from bad to worse.

“I have had my own problems with it but I haven’t come across a provider that refuses to just provide valuations.

“I don’t see how that can be in the best interests of a client.”



Meeting the FCA’s rules on costs disclosure

Earlier this year, the FCA published two papers that considered the results of the second round of its thematic review looking at RDR implementation. The review was based on information gathered from 113 firms from across the industry, with a follow-up assessment on a sample of them. Both papers highlighted failings.  The findings of the […]


Billy Burrows: Solving the annuity puzzle

When I think back 10 years or more, I am sure we were using more sophisticated  arguments to explain the benefits of annuities, compared to recent years when the message was almost entirely focused on shopping around for the best rate.  So I was pleased to come across some presentations I did many moons ago. […]


Advisers welcome move to prevent FCA fees subsidy

Advisers have welcomed a move by the FCA to ensure large firms are not subsidising the regulatory fees of small firms.  In the FCA’s final fees and levies paper for 2014/15, published last week, the FCA said it will consult in October on changes to the way it calculates minimum annual fees. Now, firms with annual […]


News and expert analysis straight to your inbox

Sign up


There are 8 comments at the moment, we would love to hear your opinion too.

  1. Simon Webster 9th July 2014 at 4:35 pm

    TCF – I think not…

    More importantly could this be a sign of things to come from other providers.

  2. Hardly TCF…!

    We have had multiple cases where we have a clear client authority to discuss matters with their Bank / provider and the Bank / provider insists on additional ‘hoops’ being jumped through before providing the information required.

    We had a recent case where it took us almost 2 months simply to establish with a Bank that an account was still open and the balance currently held – this was despite the authority both being sent to the local branch and head office. This delayed our advice, created significant additional workload and inconvenience to the client.

    It would appear that there are ‘providers’ out there which are happy to ignore the wishes of their clients and that for me is unacceptable.

  3. I thought Rolf was in prison – what’s he doing on the phone!

  4. 32 Years of Hurt ... 9th July 2014 at 5:30 pm

    Foresters …….. total bunch of numpties!

  5. Trevor Harrington 9th July 2014 at 6:07 pm

    Any future problems … just automatically feed it through to FCA … they are the regulators you know.

    It will be a learning curve for FCA to try and deal with mickey mouse policies from a mickey mouse provider.

  6. Complaint to the firm via the client and then when it is rejected to the FOS, FOS fee then exceeds profit for Forrsters on the contract, so I think they need a rethink. We don’t get clients to appoint us as their agent, they sign a general ‘ower of attorney limited tl advice only. We have not argued the case yet, but I dont see how they can ignore a GPA anymore than an LPA.

  7. They are a shower, along with several other ‘providers’.

    When I was trying to get some information from Nationwide, after having sent them an authority, they admitted that, even having the authority, they would need a power of attorney to realease details to me. Preposterous.

  8. Santander’s mortgage conditions include a small additional paragraph which means that without signing specifically, the client is giving through the mortgage terms a general power of attorney to divulge information in connection with the mortgage only, so two can play at Nationwide’s game, especially IF they have a similar paragraph in their mortgage charge agreement. Solicitors don’t explain that too you. Ironically we have it in our business terms and I DO explain it (once and only once)

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm