Investment, pensions and insurance misselling claims submitted to the Financial Services Compensation Scheme (“FSCS”)

FSCS has been criticised (Financial Times 6 August 2021) for not including necessary future adviser charges when calculating compensation for mis-sold pensions where the complainant’s pension pot needs to be invested actively (at a cost) for many years until the complainant reaches retirement age.

FSCS says that claims can be put directly to it and does not need a claims management advisor to assist. Taking the example above, this is clearly not true because the advisor has a legal duty to his client to ensure that the claim is properly put and could be liable if anything (such as necessary future adviser charges) is missed. FSCS also implies that claims management advisor charges are too high – but that is not the case with Congruent – we discuss with you the issue or issues that you have before we suggest a cost for our services – unlike many claims management advisors who have a set charge irrespective of your specific circumstances.

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