A Judicial protest has been filed by two investors against MSV Life and BOV, following claims that, after the maturity value including bonus given was over 30% less than originally estimated.
The protestors had bought a life insurance policy in July 1999 from MSV Life. The Quotation, the protestors claim, originally envisaged an Estimated Maturity Value including Revisionary Bonus of €11,082 and an Estimated Maturity Value including Reversionary Bonus and Terminal Bonus of €12,744. The Protesters argue that on 8 July 2010, MSV unilaterally reviewed these and substantially reduced them.
The Estimated Maturity Value including Revisionary Bonus reduced to an amount between €8,203 and €9,654, they said. The Estimated Maturity Value including Reversionary Bonus and Terminal Bonus of €12,744 also dropped to an amount between €8,203 - €10,233.
The scale again reduced in July 2013, they said... and in June 2015 the protestors say they were advised that upon the maturity of the insurance policyp, they would receive €8,141, "36% less than the amount quoted to the protesters in order to urge them to buy into the policy".
In their protest, they admit that the words 'estimated' and 'illustration' were used to describe the policy when they were purchasing, however argue that 36% less is outside the limit of what is considered an acceptable variation.
The protesters also complain that, while the premium to be paid was meant to be LM180 according to the quotation, they ended up paying a premium of LM189.10. In addition, they argue that 14% from the policy premiums paid was taken, "presumably" for initial and trailing commissions.
Professor Ian Refalo filed the protest on behalf of his clients