Further cut to Scot Life bonus rates

Scottish Life has reduced terminal bonus rates on its with-profits policies, the second such alterat...

Scottish Life has reduced terminal bonus rates on its with-profits policies, the second such alteration in just over six months. The latest cuts, typically 5% -10% of the maturity value, were announced on 14 April following a smaller reduction on 7 October 2002. Terminal bonuses on individual life policies with a term of 10 years to run were cut from 13.5% to 8%. Bonuses on 10-year regular premium pensions were scaled back from 21.5% to 13% and single-premium pension bonuses were reduced from 28.5% to 20%. Scottish Life has also cut the market value adjustment (MVA) for individual uni...