Declared Bonus for 2015

The current bonus rates for Unitised With Profits - Talisman, Individual and Retirement Solutions, Crest Growth Plan, Money Purchase and Defined Benefit. 

Talisman, Individual and Retirement Solutions

The directors declared regular bonuses for 2015 in respect of these unitised with profits contracts. The bonuses are shown in the table below:

 Regular bonus rate on basic unitsRegular bonus rate on declared bonus unitsTerminal bonus rate
With Profits 1

2.0%

2.0%

from 0 to 114.0%

With Profits 2

2.0%

2.0%

from 0 to 52.0%

With Profits 3

2.0%

2.0%

from 0 to 68.0%

  • With Profits 1 relates to business sold or benefits switched to with profits before 12 September 2000.
  • With Profits 2 relates to business sold or benefits switched to with profits between 12 September 2000 and 30 June 2001.
  • With Profits 3 relates to business sold or benefits switched to with profits after 30 June 2001.

Notes

Interim bonuses are payable at the regular bonus rates for 2015.

Terminal bonus is calculated as a percentage of the with profits unit account in respect of each policy year's premium payments and depending on the number of years of participation completed. These rates apply to policies becoming claims by maturity and death with effect from 1 January 2016.

Crest Growth Plan

From 1 January 2016 the bonus rate is 2.0% p.a. for business sold or benefits switched to with profits before 1 July 2001 and 2.0% for business sold or benefits switched to with profits after 30 June 2001.

Money Purchase

In addition to the bonus rates above, a terminal bonus may be payable to money purchase schemes. The terminal bonus is calculated as a percentage of the amount of the with profits unit account in respect of each year's premium payments, the percentage depending upon the number of years of participation completed. The maximum terminal bonus rate for business sold or benefits switched to with-profits before 12 September 2000 is 146% and, for business sold or switched to with profits before 30 June 2001, 60%. Business sold or benefits switched after 30 June 2001 has a maximum terminal bonus of 73%. These rates apply to policies becoming claims by maturity and death with effect from 1 January 2016.

Defined Benefit

For defined benefit schemes a special bonus of 5% has been declared for 2015 in lieu of terminal bonus. Further special bonuses in lieu of terminal bonus may be declared in the future but their size and timing will depend, amongst other things, on future investment conditions. The size of the bonus this year should not be taken as an indicator of possible future special bonuses.

Last updated: 01 Jun 2016

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The Royal London Mutual Insurance Society Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. The firm is on the Financial Services Register, registration number 117672. It provides life assurance and pensions. Registered in England and Wales number 99064. Registered office: 55 Gracechurch Street, London, EC3V 0RL.