Caution urged on returns

Friday 09 July 1993 18:02 EDT
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

LIFE insurance companies have been told to use more cautious assumptions about likely returns when providing quotations for investment products.

Under the Financial Services Act companies must use standard assumptions about investment returns to ensure consumers are not given an exaggerated picture of likely returns.

The life insurance regulator, Lautro, has revised the figures because of falling investment returns, both on deposits and shares. From 1 November, companies must stick to upper and lower rates of 12 per cent and 6 per cent respectively for tax-exempt products such as pensions and personal equity plans and

5-10 per cent for other products.

Previously they could assume 8.5-13 per cent on tax-exempt schemes and 7-10.5 per cent on others.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in