Legal & General: Products, Ownership, Complaints Record and How It Compares

UK BRAND PROFILE · INSURANCE & PENSIONS

What Legal & General does today

Legal & General is a FTSE 100 financial services group headquartered in London, founded in 1836. It operates four main divisions: retirement, investment management, insurance, and capital. Its core focus is life insurance, pensions, and annuities, with Legal & General Investment Management (LGIM) managing over £1 trillion in assets, primarily for institutional clients.

Legal & General's business is organised into four divisions. The first is retirement, which provides annuities, defined benefit pension risk transfer, and longevity insurance for institutional clients. The second is investment management, delivered through LGIM, which offers index funds, active strategies, and liability-driven investment solutions. The third is insurance, covering life insurance, critical illness cover, and income protection for individuals and workplace groups. The fourth is capital, which manages the group's surplus capital and invests in alternative assets such as housing and infrastructure.

The company's primary focus remains on life insurance and pensions, both for retail customers and institutional schemes. In the UK, Legal & General is one of the largest providers of workplace pensions, with over four million policies in force. It also writes bulk annuities, taking on the pension liabilities of companies that wish to offload their defined benefit schemes. LGIM is a significant player in the asset management industry, competing with firms such as BlackRock and Schroders, and its scale gives Legal & General a strong position in the market.

Retail customers interact with Legal & General mainly through life insurance products, which are sold directly and through independent financial advisers. The company also offers equity release, savings plans, and funeral plans, though these are smaller parts of its portfolio. Its institutional business, however, generates the majority of its operating profit, with retirement and investment management contributing significantly more than retail insurance. Legal & General's strategy in recent years has been to grow its retirement and investment management arms, while maintaining a stable retail insurance book.

In its 2023 annual report, Legal & General reported operating profit of £1.6 billion, with the retirement division contributing the largest share. The company has set out a five-year plan to increase operating profit by 6% to 8% annually, focusing on its four divisions. It also aims to invest in technology and data to improve efficiency and customer service. Legal & General's scale and diversification make it a significant player in the UK financial services sector, but its retail life insurance business faces competition from both traditional insurers and newer digital entrants.

Who owns and regulates Legal & General

Legal & General Group Plc is a public limited company listed on the London Stock Exchange, with shares held by institutional investors, including BlackRock, The Vanguard Group, and Legal & General's own funds. It is regulated by the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA) for its insurance and pension activities. Long-term insurance policies, including life insurance and pensions, are protected by the Financial Services Compensation Scheme (FSCS) for 100% of the value with no upper limit.

Legal & General Group Plc is the holding company for the group's operating subsidiaries. Its shares are listed on the London Stock Exchange under the ticker LGEN, and it is a constituent of the FTSE 100 index. The largest shareholders are institutional investors, with BlackRock and The Vanguard Group holding significant stakes. Legal & General's own investment management arm also holds shares in the company on behalf of clients. There is no single controlling shareholder, and the company is widely held.

The company is regulated by two UK bodies. The Prudential Regulation Authority, part of the Bank of England, supervises Legal & General's financial soundness, including its capital adequacy and risk management. The Financial Conduct Authority regulates its conduct in retail and wholesale markets, ensuring that products are fair and that customers are treated appropriately. Legal & General's insurance and pension activities are authorised by the PRA and FCA, and its investment management arm is authorised by the FCA.

For customers, the key protection is the Financial Services Compensation Scheme (FSCS). This scheme protects long-term insurance policies, including life insurance, critical illness cover, and pensions, for 100% of the value with no upper limit. This means that if Legal & General were to become insolvent, the FSCS would pay out the full value of qualifying policies. However, the FSCS does not cover investment losses or general insurance products, such as home insurance, which are not sold by Legal & General directly.

Legal & General is also subject to the Senior Managers and Certification Regime, which holds individuals accountable for their conduct. The company publishes an annual report and accounts, which are audited by an external auditor. Its governance structure includes a board of directors with a majority of independent non-executive directors. The company's compliance with regulatory requirements is monitored by the PRA and FCA, and it is required to report regularly on its financial position and conduct.

Legal & General's complaints record

Legal & General's complaints record can be assessed using two primary sources: the Financial Ombudsman Service (FOS) publishes six-monthly data on complaints upheld against firms, and Trustpilot provides customer reviews. The FOS data shows the volume and uphold rate for complaints that reach the ombudsman, while Trustpilot reflects customer satisfaction with service, though both have limitations.

The Financial Ombudsman Service (FOS) publishes data every six months on complaints made against financial firms. This data includes the number of complaints that were referred to the ombudsman and the proportion that were upheld in favour of the consumer. For Legal & General, the FOS data typically shows a low volume of complaints relative to its customer base, and the uphold rate is often around 30% to 40%, which is in line with the industry average. This suggests that most complaints are resolved by the firm without needing ombudsman intervention, and that when they do reach the FOS, a significant minority are upheld.

Trustpilot is another source of customer feedback, where customers can leave reviews of their experience with Legal & General. As of the latest data, Legal & General has a Trustpilot score of around 4.2 out of 5, based on thousands of reviews. However, Trustpilot reviews are not verified for authenticity, and they tend to attract customers who have had particularly positive or negative experiences. Therefore, Trustpilot should be treated as an indicator of customer sentiment rather than a statistically representative sample.

It is important to note that the FOS data only covers complaints that have been escalated to the ombudsman after the firm has had a chance to resolve them. The vast majority of complaints are handled directly by Legal & General's customer service team, and the firm reports its own complaints data to the FCA. According to its annual report, Legal & General received a certain number of complaints in 2023, with the majority being about customer service and claims handling. The firm says it aims to resolve complaints quickly and fairly, and it has a dedicated complaints team.

When comparing complaints records, it is useful to look at the FOS data for similar insurers, such as Aviva, Royal London, and Vitality. However, the volume of complaints can be influenced by the size of the customer base, and uphold rates can vary due to the types of products sold. For example, life insurance complaints are often about non-disclosure of medical conditions, which can be complex. Therefore, a single metric should not be used to judge a firm's overall performance.

How Legal & General life insurance compares

Legal & General offers term life insurance, critical illness cover, and income protection. When comparing with Aviva, Royal London, and Vitality, the key factors are the definitions of illnesses and exclusions, the claims paid statistics published annually, and the overall cost. Price alone should not be the deciding factor, as the quality of cover can vary significantly.

Life insurance policies are not all the same, and comparing them requires looking beyond the monthly premium. The most important aspect is the definition of critical illness, if included. For example, some insurers cover a broader range of conditions, or have more lenient definitions for conditions like cancer or heart attack. Legal & General's critical illness cover includes a list of conditions, and it is important to check whether the definition matches your specific needs. Aviva and Royal London also offer critical illness cover, but their definitions may differ.

Exclusions are another key factor. Most life insurance policies exclude death resulting from suicide within the first year or two of the policy. Some policies also exclude certain high-risk activities or pre-existing medical conditions. Legal & General's policy documents list exclusions, and it is essential to read these carefully. For example, if you have a pre-existing condition, the insurer may add a specific exclusion or increase the premium. Comparing exclusions between insurers can help you find a policy that offers the best cover for your circumstances.

Claims paid statistics are published annually by most major insurers. Legal & General publishes its claims data, showing the percentage of claims that are paid out. For term life insurance, the claims paid rate is typically above 95%, meaning that the vast majority of claims are successful. For critical illness cover, the rate is lower, often around 90%, because claims are more likely to be declined due to non-disclosure or not meeting the definition. These statistics provide an indication of how likely a claim is to be paid, but they should be viewed in context.

Aviva, Royal London, and Vitality are competitors to Legal & General in the life insurance market. Aviva is a large composite insurer with a wide range of products. Royal London is a mutual company, owned by its members, and is known for its ethical approach. Vitality offers a unique proposition with its wellness programme, which can reduce premiums but also requires policyholders to meet certain health targets. Each insurer has its own strengths, and the best choice depends on individual needs.

Legal & General home insurance: who is actually behind it

Legal & General sold its general insurance business, including home insurance, to Allianz in 2019. As a result, home insurance policies sold under the Legal & General brand are now underwritten by Allianz, and Legal & General acts only as a distributor. Customers should check their policy documents to confirm the underwriter.

In 2019, Legal & General completed the sale of its general insurance business to Allianz. This business included home insurance, as well as other general insurance products such as travel insurance. The sale was part of Legal & General's strategy to focus on its core life insurance and pension operations. As part of the deal, Allianz acquired the Legal & General general insurance brand and its customer book, but Legal & General retained a distribution agreement to sell home insurance under its name for a period after the sale.

Today, when a customer buys a home insurance policy through Legal & General's website or through a broker, the policy is actually underwritten by Allianz. This means that Allianz bears the risk and handles claims, while Legal & General may receive a commission for selling the policy. The legal entity that provides the insurance is Allianz Insurance plc, not Legal & General. Customers may not be aware of this distinction, but it is important for understanding who is responsible for paying claims.

The Financial Services Compensation Scheme (FSCS) does not protect general insurance policies, such as home insurance, in the same way as life insurance. If an insurer becomes insolvent, the FSCS may provide cover for some claims, but this is not guaranteed. For home insurance, the primary protection is the insurer's own financial strength. Allianz is a large global insurer with a strong credit rating, so the risk of insolvency is low.

When purchasing home insurance, it is essential to check the policy documents to see who the underwriter is. The policy schedule will state the name of the insurance company. If it says Allianz, then that is the company that will handle any claims. If you have an existing Legal & General home insurance policy, it may have been transferred to Allianz, and you should have received a letter explaining this. Always read the documentation carefully to understand your rights.

Contact, claims and complaints routes

To contact Legal & General, customers should refer to their policy documents for the correct phone number or web portal. For claims, the process varies by product, but life insurance claims are typically made by the beneficiary. Complaints should be raised directly with Legal & General, which has eight weeks to resolve them. If unresolved, the complaint can be escalated to the Financial Ombudsman Service.

Legal & General provides customer support through its website, which includes a contact page with phone numbers and an online chat service. For life insurance policies, customers can log in to their online account to manage their policy, update details, or make a claim. The policy documents will contain a specific phone number for claims, which is often different from the general customer service line. It is important to use the correct contact route to ensure a prompt response.

For claims, the process depends on the type of policy. For term life insurance, the beneficiary or the deceased's estate must contact Legal & General to make a claim. The company will require a death certificate and proof of the policy. For critical illness cover, the policyholder must submit a claim form along with medical evidence. Legal & General aims to process claims quickly, but the time taken can vary depending on the complexity of the case.

If a customer is unhappy with a decision or the service they have received, they can make a formal complaint. Legal & General has a complaints procedure that is outlined in its policy documents and on its website. The first step is to contact the company's customer service team, either by phone or in writing. The company will then investigate the complaint and provide a final response. Under FCA rules, Legal & General has eight weeks to resolve a complaint. If it cannot provide a final response within that time, it must inform the customer of their right to escalate the matter.

If the complaint is not resolved to the customer's satisfaction after eight weeks, or if Legal & General issues a final response that the customer disagrees with, the customer can refer the complaint to the Financial Ombudsman Service (FOS). The FOS is an independent body that will review the case and make a binding decision. There is a time limit for referring a complaint to the FOS, which is usually six months from the date of the final response. Customers should keep records of all correspondence with Legal & General, as this will be needed if the case goes to the FOS.

Who owns Legal & General?

Who owns Legal & General?

Legal & General Group Plc is a public limited company listed on the London Stock Exchange. It is owned by its shareholders, which include institutional investors such as BlackRock and The Vanguard Group. There is no single controlling shareholder, and the company is widely held.

Is Legal & General regulated by the FCA?

Is Legal & General regulated by the FCA?

Yes, Legal & General is regulated by the Financial Conduct Authority (FCA) for its conduct in retail and wholesale markets. Its insurance and pension activities are also regulated by the Prudential Regulation Authority (PRA), which supervises its financial soundness.

Does Legal & General still sell home insurance?

Does Legal & General still sell home insurance?

Legal & General sold its general insurance business, including home insurance, to Allianz in 2019. It still offers home insurance under its brand, but the policies are underwritten by Allianz, not Legal & General.

How does Legal & General handle complaints?

How does Legal & General handle complaints?

Legal & General has a formal complaints procedure. Customers can raise a complaint by phone or in writing. The company must respond within eight weeks. If the complaint is not resolved, customers can escalate it to the Financial Ombudsman Service.

Is Legal & General life insurance protected by the FSCS?

Is Legal & General life insurance protected by the FSCS?

Yes, long-term insurance policies, including life insurance and pensions, are protected by the Financial Services Compensation Scheme (FSCS) for 100% of the value with no upper limit. This protection applies if Legal & General becomes insolvent.

LAST REVIEWED 3 SEPTEMBER 2026