Equitable Life has announced its first-half 2007 solvency improved 8% on the corresponding period last year.
The insurer says its excess realistic assets, the key measure of solvency, jumped to £849m, from £786m in H1 last year – but the figure is lower than the £884m at the end of 2006.
“After many years of hard work and difficult decisions, the strategic initiatives that the society has taken are delivering real improvements to the prospects for policyholders,” Equitable Life chairman Vanni Treves says.
He also says the agreement with Prudential to transfer with-profits annuity policies, which has worried action groups, is a “major step forward” for annuitants.
Equitable Life chief executive Charles Thomson agreed with Treves.
“While the focus of the society has been delivering the transfer of with-profits annuitant policies to Prudential, we have continued to make financial progress that has allowed us to carry on stabilizing and consolidating the society’s position,” he says.
“The strength of the society’s current position is a crucial factor in enabling us to complete the transfer to Prudential in a way that will benefit all policyholders.”
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