Aviva in France is still dealing with having written the worst insurance policy in the world. From the sounds of things, they weren’t alone in this foible. It’s also hard to say as an outsider what the right or reasonable resolution to their current problem is, but here is the policy that they wrote.
- Buy a policy
- Choose what funds you want to invest in
- Unit prices calculated each Friday
- Allow policyholders to switch funds on old prices until the next week
- Hope like hell policyholders don’t switch out of poorly performing funds into well performing funds with perfect information based on backwards, stale prices.
Inconceivable – and since I don’t know more than I read on this blog post, maybe the reality and liability is really quite different.