As an educator, you dedicate your life to imparting knowledge and shaping the future of the younger generation. But sometimes, even the most dedicated teachers can fall prey to financial mis-selling. In the past, Teachers Assurance, an insurance company targeting teachers, has been accused of mis-selling FSAVCs (Free Standing Additional Voluntary Contributions) to unsuspecting educators.
Possible Signs of FSAVC Mis-Selling:
If you answer “Yes” to any of the following statements, you may have been mis-sold an FSAVC by Teachers Assurance:
- Teachers Assurance led me to believe their FSAVC was superior to contributing to the Teachers Pension Scheme.
- I was under the impression that Teachers Assurance was a component of the Teachers Pension Scheme.
- I wasn’t made aware of the option to buy added years in the Teachers Pension Scheme.
Despite the fact that Teachers Assurance has now been sold to Liverpool Victoria (known as LV), you can still make a claim for mis-sold pensions if you were employed as a teacher and in a final salary pension scheme. Even if you have stopped making contributions or have retired, you may still make a claim if you were sold an FSAVC.
Understanding FSAVC vs. AVC:
For clarity, it is essential to know the difference between a FSAVC and an AVC (Additional Voluntary Contribution) plan. The premiums for the FSAVC are paid out of your bank account, whereas an AVC is deducted from your salary. Both are intended to increase your pension pot but are managed differently and FSAVCs were almost certainly a bad choice.