From the 22 September, Norwich Union, part of Aviva, will be using a more sophisticated pricing system for annuity customers, by using customer's postcodes to help produce fairer annuity rates.
From the 22 September, Norwich Union, part of Aviva, will be using a more sophisticated pricing system for annuity customers, by using customer's postcodes to help produce fairer annuity rates.
By focusing on full postcodes, customers living in the same city* but in different areas will have differing rates, according to their individual circumstances.
This move will ensure that an estimated 70% of customers will see an annuity rate that is either better or the same as before, and Norwich Union quotes will now be even more competitive for smaller pension funds.**
This new and improved way of pricing the whole annuity market is being supported by all major portals**, and advisers will need to input postcode details for their customers to ensure that they get the best possible quote from Norwich Union for their clients.
Clive Bolton, Norwich Union director of annuity business, says: "By using the experiences and systems from around the Aviva group, we are able to use sophisticated postcode pricing strategy to ensure a fairer deal for all of our customers
"By utilising the open market option, many customers will benefit from these changes as we tailor quotes to better reflect their individual circumstances and lifestyle. We will be further improving our pricing model later in the year by introducing marital and smoker status into our pricing model, thus ensuring that Norwich Union remains competitive in this marketplace.
"We want to ensure that customers get a fair deal and in these uncertain times to provide them with an opportunity to make every pound count."
-ends-
* Maps of the following cities (Bristol, Glasgow, Liverpool and London) are available to highlight how the new quotes system will impact those with different postcodes.
** Including Assureweb, The Exchange Exweb and Webline
For further information:
Cheryl Cox
Telephone: 01904 452791
Mobile: 07800 695275
E-mail: cheryl.cox@norwich-union.co.uk
Damian Boylan
Telephone: 01904 452659
Mobile: 07800 697646
E-mail: damian.boylan@norwich-union.co.uk
Notes to editors:
About Norwich Union
Norwich Union is one of the UK's biggest life insurers. 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
In the summer of 2009 Norwich Union will change its name to Aviva. Aviva is the world's fifth largest insurance group and operates in 27 countries. Aviva is to become the customer brand worldwide, thus enabling the company to compete even more effectively on a global scale for the benefit of customers, staff, business partners and shareholders.