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People power and the power of the FOS


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Some Life Offices are real bar - stewards.


This report in one of the Pinks made my day!




The Financial Ombudsman Service (FOS) has ruled against Friends Life forcing the insurer to pay £100,000 to a deceased man’s family after the insurer refused to pay out on a life and critical illness policy for a father who died of cancer, the Daily Telegraph has reported.


The insurer argued it should not pay out as Nic Hughes failed to answer two questions in his application concerning numbness or tingling in his face and limbs and if he had ever been asked to reduce his alcohol intake for medical reasons.


More than 60,000 people signed a petition asking Friends to pay.


A spokesman for Friends Life said: ‘We committed to abide by the FOS’s decision and, while we continue to have concerns about this case, we are sympathetic to the circumstances of Mr Hughes’ family and believe it would be unfair to prolong the claim process any further.


‘Therefore, rather than refer this case to a senior Ombudsman for review, we are making a payment to the family for the full value of the claim, plus interest. This is in addition to the ex-gratia payment already made.


‘Friends Life follows the Association of British Insurers code on non-disclosure and Treating Customers Fairly, and believes it is compliant with the new legislation which has recently come into force.'




Sadly the old Friends Provident had an excellent claims paying history but FP was taken over by AXA and Winterthur Life and the three of them morphed into "Friends Life" - the cynic in me feels that they used this name to get some spin off of Friends Provident's good reputation in this area.


Sadly the reality seems to be somewhat different.


But well done the FOS and also well done for those who took the trouble to sign the petition.



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Friends Provident, like the man from the 'Pru' and Refuge were all good to deal with but then along came 'big business' and ethics seemed to go out the window.  Good result this one but it should never have got that far.
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