An Edinburgh-based IFA is demanding answers from the Prudential after it lost the details of a client and failed to inform them of the need to purchase an annuity when they turned 75 earlier this year.
Alan Steel Asset Management managing director Alan Steel, who is one of Scotland's best-known IFAs, is angry that a female client was not contacted by the Pru about her M&G pension when she turned 75 four months ago.
She contacted Steel's firm, having a vague idea there was something that she was obliged to do with her pension upon turning 75. Steel phoned the Pru, asking why she had not been approached.
Steel says the Pru representative admitted the firm had no idea of the policyholder's age and thanked him for telling them.
He says it is a ridiculous situation when a provider as big as the Pru has lost client details, failed to take action which has effectively resulted in the woman unwittingly breaking the law. He says: “When the management of the Pru allows this to happen and the regulator turns a blind eye to this mismanagement, how can we ever hope to regain public confidence in the insurance sector?” Prudential spokesman Paul Keeble says: “I understand the frsutrations experienced by the customer and am sorry that this has happened. I understand that the problem has now been resolved.”