0 used to describe an insurance agreement that pays an agreed amount and also pays a share of the profits the insurance company has made: --
The review proposes reform to with-profits policies, and describes an "ideal model" of with-profits policy.
Half of those people are in the with-profits fund and half are not.
I am not convinced that we have gone as far as we could over the disclosure of expenses on with-profits policies.
In terms of joint and last survivors of retirement annuities, one could not have a with-profits policy in respect of the spouse at that time.
The value of with-profits funds depends on the interaction between annual bonuses over the lifetime of the policy and the level of terminal bonus.
I should add that both have said that the particular characteristics of with-profits policies should be clearly explained to the investor.
In fact, those mortgages are a bundling of two things—an interest-only mortgage and, behind it, a with-profits endowment life policy.
Those funds result from the build-up of successive reserves from years of over-cautious returns to with-profits policyholders.