ReAssure statement on Brexit

The UK will exit the EU (Brexit) on 29 March 2019.

We (ReAssure) have been monitoring and analysing the potential implications of this for our customers, and our business. At the moment, we still don’t know what the UK’s future relationship with the EU will look like. This means we can’t tell you if or how your ReAssure policy will be affected, but we’ve put together some questions and answers to help you:

Q. I live in another EU country. How will my policy be affected?

This depends on whether or not the UK leaves the EU with a withdrawal agreement or transition period.

We expect that the majority of customers living in another EU country won’t be affected whatever the outcome.

We also expect, subject to confirmation from our regulators, that customers’ protection under the Financial Services Compensation Scheme and/or ability to refer complaint cases to the Financial Ombudsman Service will be unaffected.

In the event that a deal between the UK and the EU cannot be agreed, it’s likely that we will not be able to set up new policies (or establish, renew, extend, increase or resume cover under existing policies) for customers living in the EU. As we don’t actively market policies to customers, the effect should be limited. However, this could affect customers looking to take out a new policy, for example, following a policy review. We also believe that customers living in the EU will continue to be able to exercise any option or right in existing policies to take their pension benefits.

While we understand that this period of uncertainty can be unsettling, we can assure you that our priority is avoiding any unnecessary disruption to customers.

If you are directly affected by the UK leaving the EU we will let you know as soon as possible.

Q. What will happen to the value of my policy?

We can’t comment or speculate on how the value of your policy will be affected by Brexit. We’ve already seen periods of market volatility since the referendum vote in June 2016 and it’s possible we’ll see more before and after the Brexit date.  This can affect the current and future value of your policy.

If you want to discuss your future investment strategy we recommend you speak to a Financial Adviser. If you don’t have an adviser, you can find one in your area at unbiased.co.uk.

Q. What actions will ReAssure take if the market is especially volatile?

Sudden market volatility can affect most customers, but would have a much bigger effect on customers who take money out of a policy. For example, if you wanted to surrender a life policy, but you were invested in a fund that’s dropped significantly in value, you would get less money.

In situations like this we may contact you to ask if you still want to go ahead with your transaction.

Q. When the UK leaves the EU, will my money be safe with ReAssure?

To protect out customers we have to meet stringent requirements about the amount of money we hold. So, although we can’t say how the value of your policy will be affected we’re confident that we can meet all commitments to our customers.

If you’re concerned about how Brexit could affect your policy and want advice on what you should do, we recommend you speak with a Financial Adviser.  If you don’t have an adviser, you can find one in your area at unbiased.co.uk.

Q. What happens if things change?

We’ll continue to closely monitor the situation and consider the potential implications of Brexit. If any changes are announced that we think might affect our customers, we’ll update our website to let everyone know about it.