We're paying an extra special bonus

Great news for over 1 million with-profits policyholders

I'm delighted to announce that over the next three years over 1 million with-profits customers will receive special bonuses worth an estimated total of £2.1 billion.

If you were invested in our CGNU Life or CULAC with-profits funds (excluding stakeholder pensions and Provident Mutual policies) on 1 January 2008, then we've got some great news for you - you qualify to receive the first of three special bonuses.

By changing the way we manage these with-profit funds we've been able to reduce the investment risk. This means we don't have to set aside so much money to cover these risks. We are committed to sharing this money with eligible customers over the next three years. The changes to the fund's management are supported by our With-Profits Committee - the body that oversees the management of the funds. The committee includes a majority of independent members to ensure our customers' interests are promoted and protected. It is important to know that the changes to the funds do not reduce the potential for strong investment returns in the future.

We're still finalising the details, but we'll write to all eligible customers from March 2008 onwards with more information. In the meantime, please read on to find out more about what we're doing and whether or not you might be eligible for a special bonus.

For those with-profits customers that are also eligible for our proposed reattribution payment, we're still committed to reaching a fair agreement with the Policyholder Advocate as quickly as possible. We're hoping to conclude our negotiations soon and make a final offer. We'll let you know the outcome as soon as we can.

Thank you for choosing Norwich Union.

Mark Hodges
Chief Executive
Norwich Union Life