Merging PRSA AVC’s?

Hello, seeking some advice!
I’m a public servant and I set up a PRSA AVC almost 20 years ago with Eagle Star, now Zurich. Wasn’t fully aware of the charging structures and the use of “financial advisors”. My policy has a 1% AMC and a 3.5% contribution charge. Not great but could have signed up for worse at the time.
Anyway I’m 20 years out from retirement and over last number of years I’ve become aware of the low cost execution only policies which I have decided to open. No contribution charge and AMC of 0.75%.

When researching in more detail I only today found out it might be a possibility to replace my old policy with the new policy?

Am I correct in my understanding of this? Would the old policy me merged into the new policy and be charged under new charging structure? Is this a way of getting rid of my”financial advisor” that I haven’t had any contact with in 20 years but is still receiving his contribution charges!
I would be investing in same funds as old policy as I’m happy with their performance so no issue there. And I’m also aware I’d be losing the option of drawing pensions down at different times if I keep separate, which again I think I’m fine with.

So basically am I interpreting this correctly or am I missing something? Any advice would be appreciated.
Thanks

Providing the pensions relate to the same employment, you can make all your proposed changes.

You can change your old AVC PRSA to any new broker of your choice under their lower charges.

You don't need to contact the old adviser. Just contact your choosen new broker and they will do the transfer.

You can keep the transferred old AVC PRSA separate or merge it into the new one. It's your choice.

You can only take benefits from any PRSA based on your employment when you start your Public Sector pension.

So there is no advantage in having two separate AVC PRSAs in this regard.

S class said:

Providing the pensions relate to the same employment, you can make all your proposed changes.

You can change your old AVC PRSA to any new broker of your choice under their lower charges.

You don't need to contact the old adviser. Just contact your choosen new broker and they will do the transfer.

You can keep the transferred old AVC PRSA separate or merge it into the new one. It's your choice.

You can only take benefits from any PRSA based on your employment when you start your Public Sector pension.

So there is no advantage in having two separate AVC PRSAs in this regard.

Click to expand...

Thanks for response, very helpful. A no brainier then not to do it if I will be continuing policy for another 20 years. Thanks.

S class said:

Providing the pensions relate to the same employment, you can make all your proposed changes.

You can change your old AVC PRSA to any new broker of your choice under their lower charges.

You don't need to contact the old adviser. Just contact your choosen new broker and they will do the transfer.

You can keep the transferred old AVC PRSA separate or merge it into the new one. It's your choice.

You can only take benefits from any PRSA based on your employment when you start your Public Sector pension.

So there is no advantage in having two separate AVC PRSAs in this regard.

Click to expand...

Hello.
Contacted Zurich to discuss. Not sure did the person I spoke to fully understand my question. They said they would look into it.
Responded later by e mail maintaining it is not possible (see below).

Your policy is an AVC linked to a main scheme. In order for us to be able to transfer the funds from internally, the policy would need to be matured. However, it can only be matured when you mature your main scheme. Essentially your AVC 12986916is locked into your employment with that main scheme.

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The broker will arrange to transfer your AVC PRSA.
Contact PRSA.ie, ferga.com or LA Brokers and any of these execution only brokers will sort out the new AVC PRSA and merging the old one.

If the OP understood the difference between Standard/Non-Standard and price was a deciding factor on the transfer then the Royal London PRSA AVC on execution-only.ie would be an option as the term is suitable. ZL won't 'merge' the two plans. They'd be stand alone policies under the one login but that makes no financial difference to the client.

GSheehy said:

ZL won't 'merge' the two plans. They'd be stand alone policies under the one login but that makes no financial difference to the client.

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And could actually be an advantage due to the additional flexibility that it gives with regard to allowing phased retirement and access to pension benefits?

ClubMan said:

And could actually be an advantage due to the additional flexibility that it gives with regard to allowing phased retirement and access to pension benefits?

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In this case, No, as it's AVC PRSA and has to be matured at same time of the main scheme.

GSheehy said:

In this case, No, as it's AVC PRSA and has to be matured at same time of the main scheme.

Click to expand...

Ah, of course. My mistake!