R&SA to offer compensation on endowments

Royal & SunAlliance is increasingly looking to head off potentially large future with-profit endowme...

Royal & SunAlliance is increasingly looking to head off potentially large future with-profit endowment mis-selling liabilities by paying out compensation early. The group is offering policyholders the difference between the current projected shortfall their endowment would face at maturity and the amount of their mortgage policyholders would have paid off had they taken a repayment mortgage. While performance of the group's underlying with-profits fund could turn round sufficiently to cover any current shortfalls this enables Royal & SunAlliance to get away from longer-dated potential li...