Standard Life is asking IFAs to identify term insurance clients going back to 1994 because it did not realise it was included in recently adopted FSA moneylaundering rules.
New powers adopted by the FSA from previous regulators means an identification certificate is required for all term cases written from April 1994. Standard is mailing IFAs with a list of customers going back to 1994, asking them to certify clients.
Only those paying more than £48 a month need identification. Anyone who has not been identified will, with the IFA's permission, be directly contacted by Standard.
Some life offices say they will meet the regulations by asking for identification when a claim is made. Others say their existing procedures meet the FSA's requirements.
Standard Life marketing development manager (life products) Gerry Warner says: “We did not appreciate term insurance was caught up in the legislation. We feel it makes good sense to go back and identify customers.”
Scottish Widows spokeswoman Lisa Hunter says: “We are aware of the regulations but it is too early to say if we are planning a similar exercise.”