The Association of British Insurers ("the ABI") has released a report in October 2018 into the potential value of lost pensions due to Gone Away customers. The ABI has increased its estimates 6 Fold and now talks about the values reaching a total of £20Bn.
At Vestigium Services (formerly 'Monimine') we welcome this report as we have been 'raising awareness' of the scale of the issue of 'Gone Aways', and the implications of this issue for both Financial Institutions, and their customers.
We have also been strongly recommending the Financial Services industry ('the industry') to do more to reconnect with their customers. For instance at present there is no regulatory pressure for the industry to notify the customers estate that they hold assets of a deceased parent/relative, the onus is all on the customers family side which is impossible if they are unaware. Those suffering from dementia are also not serviced by an industry that does not proactively keep in regular touch with its customer base. Happily Vestigium’s growing client base of Financial Services organisations agree with Vestigium and want to help.
If Pensions are £20bn then the combined tally from this plus Life assurance policies plus Shares plus dormant cash will surely top £50bn
Re-engaging with customers provides the industry with an unprecedented opportunity to market to, and sell products to, their dis-engaged customers and fully to meet its Regulatory and Governance obligations.