Norwich Union has reduced the fund and transfer values on all its conventional with-profits funds by up to 9%, it has been revealed.
The Aviva-owned insurer, which also made a smaller cut in December, made the move in May after its internal fund valuing index recorded a drop of around 5%. The firm, which says the re-value will only affect those policyholders wishing to transfer or take benefits early, says it was “more than we wanted to do”. The cut affects all four of Norwich Union’s with-profits funds: CGNU, CULAC, Norwich Union Life and Pensions, and Provident Mutual. No other policy types have been affected. Norwich Union would not confirm the exact drop in fund and transfer value, saying it may have been as high ...
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