NU introduces MVRs on With-Profit policies

The MVRs will take effect from today and apply to policyholders who wish to makes a partial or total withdrawal from the CGNU, CULAC and NULAP funds. They are a mechanism to ensure policyholders leaving a fund do not take more than their fair share of the fund at the expense of remaining shareholders. NU has not imposed MVRs on its funds since July 1 last year when they were in place for policies taken out in 1999 and 2000. Commenting on the decision, John Lister, chief actuary at NU, says: “Since the beginning of the year we have seen equity markets, commercial property and corpor...