47,000 endowment policies face shortfalls

MORE THAN 47,000 holders of endowment policies will face an average shortfall of €3,810 each, according to a survey by the Financial Regulator.

The Financial Services Ombudsman, Joe Meade, warned such customers yesterday they are unlikely to succeed in seeking compensation from financial institutions for mis-selling the product or for the failure of the policy to reach its projected maturity value.

However, he said policy holders could have some redress if financial institutions had failed to provide them with regular statements on the performance of their policy as they were legally obliged since 1995.