Savings & Investment Plan Terms and Conditions
Definitions
Throughout the plan there are
words and phrases that have special meanings and are shown in
italics.
"Fund" means each separately
identifiable account maintained by us.
"Fund switch" means
the cancellation of units in one fund and their allocation instead
to an alternative Fund or Funds. The Unit account Value on the
effective day of the fund switch will be the same before and after
the fund switch.
"Plan" means the 1000
Forester Life Savings & Investment Plans you have applied for,
which are evidenced by this Plan Document, less any that have been
surrendered. Each of the 1000 Plans is a separate arrangement and
those that remain from time to time are identical. These Terms and
Conditions apply to all of those Plans and any reference in these
Terms and Conditions to the Plan is a reference to all those 1000
Plans, less any that have been surrendered.
"Plan Value" effective on a given date means
the sum of the units of each Fund of the Unit Account on that date
multiplied by the respective unit price effective on that date.
“Planholder” means person or
persons named in the Schedule.
"Schedule" means the personal
information relating to the Plan.
"Stakeholder" means an
account, which meets the Government’s requirements for a
stakeholder account as set out in the Stakeholder regulations. For
the purposes of this Plan, only an insurance policy is
available.
"Stakeholder regulations"
means the Stakeholder Products Regulations 2004 as amended or
re-enacted from time to time.
"Start date" means the date
specified in the Schedule.
"Unit account" on a given
date means the units of the Funds that remain allocated to the Plan
at the end of the previous day. Any units cancelled before that
time for any reason described in this document do not form part of
the Unit account.
"We" and "Us" mean Forester
Life Limited. "Our" has a corresponding
meaning.
"You" means the Planholder(s)
and, where the context requires, the legal personal representatives
of the surviving Planholder. "Your" has a
corresponding meaning.
Contributions
You may invest regular monthly and/or one off
contributions to your Plan. The minimum
contribution is £20. There is no maximum limit. Contributions must
be in the currency of England.
Single contributions can be made by cheque or direct
credit. Monthly contributions can be made by direct debit or
standing order and are due on the Start date and monthly
thereafter.
Optional Changes to Monthly Contributions
You may increase or decrease your
monthly contributions at any time. Monthly contributions may not be
reduced below the minimum of £20.
You may stop your monthly contributions
at any time. If monthly contributions have stopped they may be
restarted at any time subject to any conditions or restrictions
we may apply.
Automatic Increases on Monthly
Contributions
Your monthly contribution will increase
automatically on each anniversary of the Start date. The
rate of each Automatic Increase in monthly contributions will be
equal to the proportion by which the Retail Prices Index, for the
month six months before the month in which the anniversary falls,
exceeds the Index for the month eighteen months before the month in
which the anniversary falls.
The rate of the increase will be applied to the amount
of your monthly contribution, payable on the due date
immediately preceding the anniversary, allowing for any
contribution changes attributable to Optional Changes. If the
increase in the Index for a year is negative, no Automatic Increase
will be made on the respective anniversary date and your
monthly contribution will remain unchanged. If the Retail Prices
Index is replaced or discontinued, we will decide which
other suitable Index we should use for calculating
Automatic Increases.
Automatic Increases will be cancelled on all future
anniversaries of the Start date if you request
them to be cancelled, subject to 14 days’ written notice. If
Automatic Increases have previously been cancelled you may
request their reinstatement at any time. The first Automatic
Increase after reinstatement will be made on the following
anniversary of the Start date, subject to 14 days written
notice. The reinstatement will not take account of any Automatic
Increases that would have been made previously but for their
earlier cancellation.
Investment of Contributions
Contributions will be invested in the Fund(s)
selected for your Plan. The investment objectives
of the Fund(s) are set out in our Savings &
Investment Plan Brochure and Key Features. Subject to
meeting the conditions for a stakeholder account,
we have discretion as to how the assets of each
Fund are invested. Any income arising from the assets of a
Fund will be added to the Fund.
Each Fund is divided into units of equal
value. We will increase or reduce the number of units into
which a Fund is divided at our discretion, in
which case we will transfer in to or out of the
Fund an amount of money so that the value of each unit is
unaffected.
We will value each Fund each business
day based on the closing prices of the assets for the previous
business day. However, in order to ensure fairness between existing
investments, and transactions based on these Fund values,
we may base the valuation of each fund price at a
different time. We will calculate the value of the assets
in each Fund on a fair and reasonable basis and check that
the investment limits for each Fund are in accordance with
the Stakeholder regulations.
We will calculate the value of a unit of each
Fund at a valuation by dividing the total value of the
Fund calculated at that day’s valuation by the total
number of units of the Fund existing at that time.
We will then set a price for a unit of the Fund
for the purpose of allocating units to Plans and computing
the benefits under Plans that are linked to the
Fund. It will be equal to the value of a unit of the
Fund rounded to the nearest one-tenth of a penny. Unit
prices set at a valuation will be effective from the following
day.
We may open new Funds from time to time or close
or combine existing Funds if we think this is appropriate.
Where we open new Funds, and subject to any conditions or
restrictions we may apply, you may request that
we redirect future contributions and/ or fund
switch existing units, using the unit prices effective on the
later of the date you select and the day after we
receive your written instructions. Where we close
or combine Funds we will redirect future contributions
and/or fund switch existing units, as we decide
are appropriate, using the unit prices on the effective date.
Allocation of Units to Your Plan
On each monthly due date, we will allocate to
the Plan units of the Fund(s) using the unit
price or prices effective on that date. The total value of the
units we allocate at that price will be equal to the
monthly contribution due.
If a monthly contribution is paid after its due date
then we reserve the right to allocate units of each
Fund selected at the unit price effective on the day after
we receive the monthly contribution rather than at the
unit price effective on the due date. If we have allocated
units in respect of a monthly contribution that is not paid, those
units will be cancelled.
For each single contribution received, we
will allocate units to your Plan using the price
effective on the later of the day after we receive the
payment and the Start date. The total value of the units
we allocate at those prices will be equal to the payment
received.
The number of units of a Fund allocated in
respect of each payment, and each fund switch, will be
rounded down to the next lower 1/100th of a unit.
If the effective date for any unit cancellations under
the Plan is the same day as the effective date for any
unit allocations the allocations will take place first.
Fees and Charges
The annual management charge that we will
levy is set out in our Saving & Investing
Plan Brochure and Key Features. In addition we
will make a deduction from each Fund before the
Fund is valued, to cover the costs of taxation, dealing
charges and any expenses incurred in complying with our
legal requirements.
Annual Statements
We will prepare and send to you, at
least annually, a statement including valuation of your
Plan and the amount of all regular and lump sum
contributions made since the previous statement date.
Encashment
On receipt of your written instructions,
you may request that we pay you all or a
portion of the Plan Value. This will be effective on the
later of the day you select and the day after we
receive your request. We will surrender a part of
your Plan and withdraw funds from the remainder
of your Plan, at our discretion. If the
Plan Value in respect of the part of the
Plan that is surrendered is greater than the amount
requested, we will invest the difference in the remainder
of your Plan as a single contribution.
We will cancel a number of units of the Unit
account equal in value to the amount payable. If units of more
than one Fund remain allocated to the Plan at the
time, we will cancel units of each of those Funds equal in
value to the proportionate value of the units of each
Fund. The number of units of a Fund cancelled in
respect of the partial withdrawal will be rounded up to the next
higher 1/100th of a unit.
Before we make any payment, we will
require evidence satisfactory to us of the entitlement of
the benefit of the person or persons claiming payment. We
may also require the return of this Plan Document and any
endorsements. All payments are due in the currency of England at
our registered office.
Payment of benefit will release us from
our obligations under the Plan.
Death Benefit
In the event of your death (the second death
where the Plan is held on a joint life basis), we
will pay 101% of the Plan Value effective on the day after
we receive notice and evidence, satisfactory to
us. Payment will be made to your legal personal
representatives.
Before we make any payment, we will
require evidence satisfactory to us of the entitlement of
the benefit of the person or persons claiming payment. We
may also require the return of this Plan Document and any
endorsements. All payments are due in the currency of England at
our registered office.
Payment of benefit will release us from all
of our obligations under the Plan.
Cancellation Rights
Your Plan Document is issued together
with a Notice of your right to cancel. You have
30 days from receipt of this Notice in which you can
change your mind about taking out your
Plan. The amount returned to you may be less than
the contributions paid, if the value of units bought on
your behalf has fallen.
If you wish to cancel you should
complete and return the Notice to us.
Termination
You may terminate your Plan at any time by giving us notice in
writing.
We reserve the right to terminate your Plan by giving you 30 days’
written notice after the 5th anniversary of the Start
date, if regular contributions stop or have stopped and the Plan
Value is less than £1,750.
Disputes
We take the concerns of our
Planholders very seriously. If at anytime you do
have any comments or wish to make a complaint, please write to the
Customer Relations Officer at Foresters, Foresters House, Cromwell
Avenue, Bromley, Kent, BR2 9BF.
In the unlikely event that your complaint
cannot be resolved to your satisfaction, you can
write to the Financial Ombudsman Service (FOS), South Quay Plaza,
183, Marsh Wall, London, E14 9SR (telephone 0845 080 1800)
The existence of the FOS or this complaints procedure
does not prejudice your right to take legal action.
Data Protection
We will record the personal information contained
in your application on computer and use it to assess
your application and to administer your policy.
The information may be used for fraud prevention or money
laundering prevention.
We may share your information with
organisations who are our business partners. We,
or they, may contact you by mail, telephone, SMS, fax or
e-mail to let you know about any goods, services or
promotions, which may be of interest to you. If
you do not wish to receive such information please write
to our Data Protection Officer, Foresters House, Cromwell
Avenue, Bromley BR2 9BF.
By applying for this Plan you
consent to our processing your sensitive personal
data, such as health data, for the above purposes. You
have a right to ask for a copy of your information (for
which we may make a small charge) and to correct any
inaccuracies. When you give us personal
information about another person we will assume that they
have appointed you to act for them and have consented to
the processing of their personal data, including sensitive personal
data.
General
This document contains the schedule and all
the Terms and Conditions of the Plan. We will not
be liable for any condition, claim, statement, warranty or
representation, whether express or implied, and whether collateral
to this agreement or not, which differs from these Terms and
Conditions.
No term or condition in this document can be modified
or waived (unless this document expressly provides that it can be)
except by an endorsement issued by us from our
registered office and signed by one of our authorised
officials.
We will satisfy ourselves that any person to whom
we delegate any of our functions or
responsibilities under these Terms and Conditions is competent to
carry out those functions and responsibilities.
Any requests made in connection with these Terms and
Conditions must be made in writing and delivered to our
registered office. We will use certain procedures and
forms when any change to your Plan or any payment
is to be made. We will only make changes when all normal
procedures have been complied with.
We will retain all the charges and deductions
described in this document for our own use and
benefit.
We are authorised and regulated by the Financial
Services Authority.
We will send any notices or other correspondence
to the address that you have given to us in
your application form, or to a new permanent residential
address provided you have advised us of it in
writing.
We will update our literature from time
to time.
We will always communicate with you
using the English language.