GBP19.4 bn of pension pots unclaimed: ABI

Research commissioned by the Association of British Insurers (ABI) has found that many people rarely inform their pension provider when they move house. It has been estimated that there are around 1.6 million pension pots worth GBP19.4 billion unclaimed – the equivalent of nearly GBP13,000 per pension pot.

Insurers are trying to reunite people with their lost pensions, life insurance and investments, usually done by sending a letter to their new address.

The research was used to produce guidance for insurance and pension providers to help identify, track down, verify and reconnect people with lost savings through improving reconnection communications.

Typically, people move house 8 times in their life. As part of the study, people were asked about their ‘to-do’ lists when they move – things they would do automatically and things they would do when prompted.

The research found that only half of the sample size thought about contacting their pension provider as a high priority. The highest priority was informing the bank or utility provider. Only 1 in 25 instinctively think about telling their pensions provider about their new address.