HC Deb 03 July 1917 vol 95 c903
21. Mr. PETO

asked the Secretary to the Board of Trade whether his attention has been called to cases of hardship in connection with the lapse of policies of insurance of poor people who are unable to keep up their premiums, where the industrial insurance company concerned give no surrender value for the policy, contrary to the provisions of the National Insurance Act with regard to insurances under that Act; and whether he proposes to take any action in the matter?


I have seen two letters from policy-holders which my hon. Friend has been good enough to send me, and I am communicating with him with regard to those letters. The Assurance Companies Act does not require a company to give surrender values, but it is usually the practice of the large industrial assurance companies to issue a paid-up policy, where the assured wishes to discontinue the payment of premiums on a policy which has been in force for five years.


Will the hon. Gentleman's Department convey to the insurance company concerned the latter part of his answer and ask whether they will not pursue the usual course in giving a surrender value for the policy and not pursue a policy which in effect robs these poor people of premiums they have paid?


I will take those matters into consideration.