Skip to main content

Life Insurance (Bonuses)

Volume 229: debated on Wednesday 21 July 1993

The text on this page has been created from Hansard archive content, it may contain typographical errors.

To ask the President of the Board of Trade, what studies he has made of the way in which life insurance companies are distributing with-profits bonuses; and if he will make a statement.

There is a growing debate within the life insurance industry about the methodologies for assessing bonus distributions on with-profits policies.As part of its regulatory responsibility to keep itself informed of developments in the life insurance industry, my Department has asked the Government Actuary's Department to conduct a survey of leading United Kingdom offices which write with-profits business, to obtain more detailed information about companies' bonus philosophies and the actuarial techniques used in assessing bonus payments.