Aviva cuts with-profits bonus rates

The changes, effective from 1 January, will see final bonus rates for unitised with-profits policies reduce by an average of 6%. Aviva said the reduction has been necessitated by falls in investment markets since July. It said the regular bonus rate for conventional endowment policies in the ex-CGNU and ex-CU funds has also been reduced, by 0.5%. Aviva has put in place a 0.25% rate reduction for unitised with-profits in the ex-CGNU fund and for unitised life policies in the ex-NULAP fund. This does not apply to those policies with a guaranteed regular bonus rate. The insurer said i...