Liverpool Victoria has introduced a Market Value Adjustment, applicable to with profit investment bonds that were taken out between September 1998 and June 2002, for more than £10,000. The penalty chargeable could be between 3% and 14% depending on how much was invested and the length of time it was invested with the company.
The good news is that Liverpool Victoria are standing by their decision only to apply a penalty where the market is seriously deteriorating and more and more people cash in their policies. More good news for new business to the company, pensions and regular premium investments - the penalties do not apply.
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