Isn't it ironic that in an industry which is as closely regulated as financial services, the concept of duty of care is so often blatantly lacking.
As an IFA, I have almost now become used to seeing the business introducer and, more important, the client being left in the corner while the insurance company undertakes its priority, namely, protecting its legal and regulatory position.
Skandia is not a company that I have had a lot of problems with in the past. However, a recent case has highlighted the above issue only too clearly.
I have just transferred a pension plan for a client from another company to Skandia. Due to certain penalties applying, I specifically requested that only the protected rights element was transferred.
After the usual considerable delays, it transpired that Skandia had completely ignored my instructions and transferred the whole amount.
Although, by the letter of regulation, we would have to accept some liability by inadvertently signing one of the hordes of documents that came our way some months later, Skandia feels it is justified in accepting no liability whatsoever. I am sorry but is this what protecting the client is all about?
When are the guys running these companies going to stand up and decide whether they are really going to provide a quality financial service or not?