Norwich Union is raising its bonus rates for pension investors in its with-profits fund in 2006.
Norwich Union, the UK-based insurance company owned by Aviva, said that pension policies and stakeholder policies have been increased by 0.5% to 4.5% and 4% respectively. Bonus rates for bond investors have been maintained at the same rate. Existing policyholders will have to wait until January 17 to find out what their rates are.
Chief actuary John Lister said: These changes are good news for investors in our with-profits fund, and underline the benefits of investing in a fund with a high equity backing ratio. The rates announced today demonstrate our ongoing commitment to marketing with profit products.