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This page relates to the National Mutual With Profit FundThe National Mutual With Profit Fund was established on 31st December 2007 by the scheme that transferred the with profits business from NM Pensions Limited (TomorrowTM) to Windsor Life Assurance Company Limited. It primarily contains the business originally written by National Mutual Life Assurance Society which was held in the National Mutual Fund. Market Value Reductions for With-Profits PoliciesIn some circumstances, an adjustment may be applied to claims, which reduces the claim value to below that which would be payable on an equivalent maturity. It may result in the claim value falling below the level of the guaranteed benefits (recalculated to the date of claim). Such an adjustment is known as a Market Value Reduction (MVR). The policy proceeds to which an MVR would be applied include most surrender and transfer values (including internal transfers and partial encashments), early and late retirements (where permitted under the terms of the policy document) and (for unitised policies) fund switches out of with profits. The Company applies MVRs in order to protect the interests of continuing policyholders in the fund. The Company will normally consider applying an MVR when final bonus rates overstate the true value of the policy, in particular where there is a high volume of surrenders of policies. The rate of any MVR applying from time to time may be varied frequently by the Company. You can find more information about how MVRs are applied to policies in the National Mutual With-Profit Fund in our Principles and Practices of Financial Management (PPFM) Document which is available by clicking here. It is most likely that we'll need to apply an MVR following a large or sustained fall in stock markets, or after a period where investment returns are regularly below the level we normally expect. MVRs may be applied from time to time and you should check before you surrender or transfer a policy. If you need further information on your Plan call us on 0870 887 3333. If you are calling from outside the UK, please call 00-44-1952-292929. Please have your policy number to hand. As at 31st December 2007, no MVRs were in operation in the National Mutual With-Profit Fund. Past performance is not a guide to the future. The value of an investment may fluctuate and is therefore not guaranteed. For current Bonus Rate information, please click here. |