LV= claims it is the only provider in the life and pensions market to pay compensation to consumers if they do not receive their tax free cash within seven working days on its unsecured pension plans.
The mutual is guaranteeing that pensions commencement lump sum payments will be paid within seven working days or £1,000 compensation will be paid to consumers.
This is a four-fold increase of the amount of compensation previously offered by the Tomorrow business that LV= acquired and relaunched under its own brand in January 2008.
This commitment has been extended to include the LV= discretionary management option and fund supermarket Sipp.
LV= life and pensions managing director Rodney Cook says: “We understand that service standards count to both financial advisers and their clients. When all formal documentation has been received by us there is absolutely no reason why clients cannot have their tax-free cash paid within seven working days. We believe so strongly in service excellence and our administration capabilities that we want to make a statement to the market about just that.”