IFSO backs adviser in misselling claim

The woman arranged an insurance policy with an investment component with her insurer in 1990.

Eight years later, when she retired, she completed an application form for a term life policy, using the conversion option from the investment policy, which meant she did not have to provide medical information for re-underwriting.

In 2001, she completed an application form to increase the life insurance cover from $60,000 to $75,000.

In 2016, the woman’s daughter asked for information on her mother’s policy. She was told that the investment policy had been surrendered and $15,000 paid by direct credit into her mother’s bank account.