Aviva has increased the amount set aside for customer compensation claims in relation to “historical advised sales” by Friends Provident advisers.
During the firm’s end of year results, it said that it increased compensation fund to £250m ($328m, €290m) from £75m in 2017. It said that over 90% of cases that had issues of advice were pre-2002.
Aviva said in its half year results in August 2018 that it had carried out a review into advice received by around 4,000 customers relating to the transfer of defined benefit pensions into Friends Provident pensions, and had notified the regulator.
It is continuing to carry out its in-house investigation into the “complex” cases, and is looking to see if the advice given was suitable, and if not it is making sure the customer is dealt with correctly.
The firm bought Friends Provident in 2015.
