From 1 September, all endowment policyholders requesting information on surrendering, will need to ...
From 1 September, all endowment policyholders requesting information on surrendering, will need to be told they can sell their policy. Endowment trader Surrenda-link estimates this will unlock up to £15m in commission as policies are traded.
Mathew Roche, marketing manager at Surrenda-link, said: ‘Selling a policy may yield a greater return than surrendering one, as much as 30% more. Despite this, many mid-term policies suitable for sale on the traded endowment policy (TEP) market are still being surrendered to the life companies. This represents a loss to the TEP market, to IFAs in terms of commission and to the policyholders who should be entitled to the best return on their investment.’
