Norwich Union endowments Special Bonus

dunstonh

That's gonna make up for the £23,000 shortfall they have forecasted for mine :rolleyes: Still better than nothing .

They havent forecasted anything. NU also tend to understate the actual performance by using lower growth rates in the projections. Some NU plans also dont include the final bonus in the projections and none include the mortgage promise value.

The payout mentioned by payless is not the special bonus either mentioned in the first post.

payless

dunstonh wrote: »

The payout mentioned by payless is not the special bonus either mentioned in the first post.

No , the 2 are different - but seems the best place to mention it - personally I would have preferred more cash less bonus ( as the latter does not apply to my recently matured plan)

dunstonh

Wasnt aimed at your Payless. It was gocat who didnt appear to realise that there are two special events going on with NU. The special bonus and the reattribution.

gocat

pawpurrs wrote: »

Its so confusing I would love to know if mine is likely to pay off my mortgage.

So we could still get another pay out then?

Couldnt havnt put it better myself

GrannyKate

Just a quick question - I have been following the stuff in the press recently but only picked up on the 'price promise' issue from recent posts.

We have a small (£5000) policy with NU taken out in September 1989 and due to mature Sept 2009. This is one of several policies taken out with different companies as we moved around - we have kept paying them to give life cover and extra money for retirement but switched to repaying the mortgage several years ago.

The current bonus statement says the predicted shortfalls are
£960 at 4%, £870 at 5% or £780 at 6%. The accompanying info refers to the price promise and the 'promise' to make up a shortfall on the figure given in 1999 for 6%. It says this amount is in the covering letter but I cannot see it anywhere. However, going back to the policy update issued in July 2000 this refers to a figure of £470 as the maximum amount they are committed to paying under the price promise to make up any shortfall (under 6% column).

Does this mean that the actual shortfall could be the relevant amount shown on this years statement less the £470 guaranteed in 1999/2000.

Or am I missing something here?

dunstonh

The £470 is your maximum promise value that would be paid on top of the maturity value if there is a shortfall equal or greater to £470. It is not paid if there is a surplus and if the shortfall is less than £470 then the lower amount would be paid.