Not upheld: Service failures generally complaint against Vitality Corporate Services Limited
Financial Ombudsman decision DRN-6403475 of 2026-06-24T00:00:00+00:00. Service failures generally complaint against Vitality Corporate Services Limited. Outcome: Not upheld.
Decision detail
| Reference | DRN-6403475 |
|---|---|
| Decision date | 2026-06-24T00:00:00+00:00 |
| Firm | Vitality Corporate Services Limited |
| Product | Life / income protection |
| Claim type | Service failures generally |
| Outcome | Not upheld |
| Remedy | Vitality Corporate Services Limited to pay Mr D and Miss D £150 if not already paid |
Summary
Mr D and Miss D complained to the FOS about Vitality Corporate Services Limited regarding their Life Essentials Plan, which repeatedly appeared to be in arrears following annual renewals between 2021 and 2025 due to the anniversary date and payment date coinciding. Although the online member zone temporarily showed arrears status, the policy was never genuinely at risk and the complainants were never out of pocket. Vitality acknowledged it could have handled matters better and offered £150 compensation, which the complainants rejected, requesting one month's premium instead. The ombudsman upheld Vitality's £150 offer as fair and reasonable, finding that while the firm should have implemented a payment date change earlier and communicated more clearly, the compensation appropriately reflected the distress and inconvenience caused without punishing the business.
The Ombudsman's reasoning
The ombudsman acknowledged that while Vitality could have handled matters better by implementing the payment date change earlier and providing clearer communications, the policy was never genuinely at risk and the complainants were never out of pocket. The impact consisted mainly of inconvenience, frustration, time spent, and understandable concern about the temporary arrears display. The ombudsman determined that £150 fairly reflects the distress and inconvenience caused, noting that distress and inconvenience awards are intended to fairly reflect impact, not to punish businesses.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Vitality Corporate Services Limited, all decisions | 97 | 18% |
| Service failures generally, all decisions | 34,193 | 32% |
| Life / income protection, all decisions | 10,704 | 20% |
Source
Read the original decision on the Financial Ombudsman Service website