LV= is a mutual which means we're owned by our 1.2m members.
The LV= mutual bonus was introduced in 2011 and rewards eligible members for their continued investment in the Society.
Each year the LV= Board considers whether to declare a mutual bonus and, if so, the level and form of the bonus and which policies should receive it. This takes into account:
Currently only members with LV= With-profits policies are eligible to receive a mutual bonus but this may not always be the case. RNPFN Fund and Teachers Assurance Fund With-profits policies are not eligible. Most eligible members will receive the mutual bonus when their LV= With-profits policy ends. The LV= mutual bonus is not a guaranteed benefit and is at the sole discretion of the LV= Board. Previously declared mutual bonus can be taken away in exceptional circumstances (for example, if we needed to protect our financial strength), though it may be subsequently reinstated if the Board considers it appropriate.
Answering your questions about our mutual bonus
Mutual bonus frequently asked questionsOur performance in 2018 has enabled us to allocate a discretionary mutual bonus of £26 million (2017: £26 million). We have applied the mutual bonus by uplifting the payouts of LV= with-profits policies as follows:
Policy group | Uplift % 2018 | Uplift % 2017 |
---|---|---|
Conventional with-profits policies and with-profits annuities | 1.0% | 1.0% |
Accumulating and unitised with-profits policies except Flexible Guarantee policies | 1.0% |
1.0% |
Flexible Guarantee Bonds Series 1 and 2 / Flexi Guarantee Plan / Flexible Guarantee Funds Series 1 | 0.5% | 0.5% |
Flexible Guarantee Bonds Series 3 / Flexible Guarantee Funds Series 2 | 0.2% | 0.0% |
Policy group | Uplift % 2018 | Uplift % 2017 |
---|---|---|
Conventional with-profits policies and with-profits annuities | 1.0% | 1.0% |
Accumulating and unitised with-profits policies except Flexible Guarantee policies | 1.0% |
1.0% |
Flexible Guarantee Bonds Series 1 and 2 / Flexi Guarantee Plan / Flexible Guarantee Funds Series 1 | 0.5% | 0.5% |
Flexible Guarantee Bonds Series 3 / Flexible Guarantee Funds Series 2 | 0.2% | 0.0% |