Norwich Union has again reduced the average market value reduction (MVR) on unitised with-profits policies.
Norwich Union has again reduced the average market value reduction (MVR) on unitised with-profits policies. The changes apply to investors in the CGNU, CULAC and NULAP funds, and came into effect on 02 March 2006.
The average MVR rates applying per year of purchase of units were:
|
| 15/03/2005 | 25/07/2005 | 06/10/2005 | 01/01/2006 | 02/03/06 |
| Year units purchased | Average rate | Average rate | Average rate | Average rate | Average rate |
| 1998 | 10% | 6% | 4% | 3% | 1% |
| 1999 | 13% | 10% | 8% | 6% | 2% |
| 2000 | 15% | 13% | 11% | 8% | 6% |
| 2001 | 5% | 4% | 2% | 0% | 0% |
David Riddington, senior actuary at Norwich Union, said: “Norwich Union has been steadily reducing MVRs over the last two years, and the level of MVRs on money invested in 1999 and 2000 has been significantly reduced since March last year.
“With the continuing improvement in market performance in 2006 we are now able to make another reduction in MVRs. Our policy remains to remove MVRs as soon as markets allow and this is a further step in that direction.”
-ends-
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Cheryl Cox 01904 452617 Out of hours 07800 695275
Notes to editors:
Norwich Union is the UK's largest insurer. It is a leading provider of life, pensions and investment products and one of the largest Financial Adviser (FA) providers. FAs provide over 70% of the company's long-term savings business in the UK.
Norwich Union has strategic alliances with building societies and other leading UK brand names including CIS and The Royal Bank of Scotland Group. Norwich Union’s news releases and a selection of images are available from Aviva's internet press centre at www.aviva.com/media