Not upheld: Other regulated complaint complaint against Zurich Assurance Ltd
Financial Ombudsman decision DRN-6471954 of 2026-07-03T00:00:00+00:00. Other regulated complaint complaint against Zurich Assurance Ltd. Outcome: Not upheld.
Decision detail
| Reference | DRN-6471954 |
|---|---|
| Decision date | 2026-07-03T00:00:00+00:00 |
| Firm | Zurich Assurance Ltd |
| Product | Pension |
| Claim type | Other regulated complaint |
| Outcome | Not upheld |
| Remedy | Zurich to pay £200 compensation in total (£100 for delay in processing transfer request and £100 for failing to update Mr S on tax-free cash payment issues), if not already paid. |
Summary
Mr S complained that Zurich Assurance delayed processing his pension transfer request, failed to warn him about bankruptcy-related requirements, and did not keep him updated when his tax-free cash payment failed. Zurich traced Mr S in October 2024 regarding a £540,000 retirement annuity policy and provided bankruptcy requirements in November 2024 policy information. When Mr S's adviser requested a transfer on 30 December 2024, Zurich took 18 days to respond, and the transfer was further delayed while Mr S obtained Official Receiver confirmation of no interest in the policy (which took until 4 April 2025). The ombudsman found that while Zurich should have acted faster, the primary delay was caused by Mr S not approaching the Official Receiver promptly after being informed of the requirement in November 2024. The ombudsman upheld Zurich's offer of £200 compensation as fair and reasonable, rejecting Mr S's claim for compensation for market losses.
The Ombudsman's reasoning
The ombudsman applied the TRIG framework's ten working day end-to-end transfer standard as relevant good industry practice, despite it being voluntary, because: (1) the FCA endorsed it and expected improvements; (2) it constitutes a code of practice in substance under DISP 3.6.4R; (3) Zurich was a member of STAR and held TRIG accreditations at the time of the transfer. However, the ombudsman found that even if Zurich had acted more promptly in identifying missing documents by 9 January 2025, this would not have materially changed the outcome because Mr S and his adviser were already aware of the requirements but did not provide documents until 20 January. The primary cause of delay was Mr S's failure to approach the Official Receiver promptly after being informed of this requirement in November 2024, not Zurich's actions. The ombudsman concluded Zurich's £100 compensation for service standard breach and £100 for failing to update on tax-free cash payment issues was fair and reasonable.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| Zurich Assurance Ltd, all decisions | 1,023 | 27% |
| Other regulated complaint, all decisions | 18,992 | 19% |
| Pension, all decisions | 15,621 | 47% |
Source
Read the original decision on the Financial Ombudsman Service website