THE recent news about the rising number of complaints against investment-linked insurance policies (ILPs) isn’t surprising. In 2024, complaints about ILPs filed with the Financial Industry Disputes Resolution Centre (Fidrec) reportedly hit a high of 211, up from 55 in 2023.
This year, 57 complaints were lodged in the first half.
ILP sales have surged since around 2022, overtaking traditional participating plans. The sale of ILPs, especially those sold in single-premium mode, tends to rise when markets are strong.
