Aviva launches investigation into 'cross-selling' error

clock • 1 min read

Aviva has apologised for "cross-selling" discounted private medical insurance (PMI) to advisers' clients, in what the insurer has said was a mistake.

Some clients who had bought PMI from Aviva via an IFA received a  statement from the insurer offering a 5% discount on their premiums "for being a loyal customer".

After following a web-link to the offer page, however, customers are told the discount is for direct customers only, and "it is not available online or through an intermediary".

The clients' financial advisers also received copies of the statements.

Ian Green, an IFA at Green Financial who received the letter, said Aviva's behaviour was "very disappointing".

"It is taking an IFA-developed customer with a regulated product, and cross-selling their own direct, non-regulated product to them," he said.

"Over the last few years, Aviva have actually been very IFA-friendly, which is why this surprises me."

A spokesperson for Aviva apologised to advisers and said the letter was sent out by mistake.

"It was intended for direct customers only and unfortunately was issued in error," the spokesperson said.

Aviva plans to launch an investigation into how the mistake occurred, she said. A new letter is also being developed for intermediary customers.

In the past few months, providers have been accused of poaching clients from advisers by launching direct to consumer services (D2C).

In September, Friends Life was forced to defend their new service, PlanWise, from claims that it targeted IFAs' existing client bases.

More on Adviser / Broking

SBG acquires stake in New Homes Mortgage Services

SBG acquires stake in New Homes Mortgage Services

Undisclosed sum

Jaskeet Briah
clock 08 November 2024 • 1 min read
COVER Excellence Awards 2024: Winners announced

COVER Excellence Awards 2024: Winners announced

Leading lights in protection and health

COVER
clock 08 November 2024 • 2 min read
Best Insurance launches WhatsApp application service

Best Insurance launches WhatsApp application service

ASU insurance will be the first product available

Jaskeet Briah
clock 29 October 2024 • 2 min read

Highlights

COVER Survey: Advisers damning of protection insurer service levels

COVER Survey: Advisers damning of protection insurer service levels

"It takes longer than ever to get underwriting terms"

John Brazier
clock 12 October 2023 • 5 min read
Online reviews trump price for young people selecting life and health cover

Online reviews trump price for young people selecting life and health cover

According to latest ReMark report

John Brazier
clock 11 October 2023 • 2 min read
ABI members with staff neurodiversity policy nearly doubles

ABI members with staff neurodiversity policy nearly doubles

Women within executive teams have grown to 32%

Jaskeet Briah
clock 10 October 2023 • 3 min read