Bonus declaration overview

May 2020 - Mid-year bonus declaration

Further to our annual bonus rate announcement in February 2020, and following the falls in investment values as a result of COVID-19, we have decreased final/terminal bonus rates for many of our with profits products. The new final bonus rates will apply from 21 May 2020.

A final bonus is added to the value of some policies when customers take money out of the With Profits Fund. It’s paid to make up any difference between the amount we have guaranteed to pay and the overall amount we decide is fair to pay. Final bonus rates are not guaranteed and can change at any time.

Please note, With Profits Annuities and With Profits Income Bonds are not eligible for a final bonus and are not affected by this.

Information on investment performance for 2020 will be provided alongside the February 2021 annual bonus declaration.

February 2020 - Annual bonus declaration

On Thursday 20 February 2020, we announced bonus rates for all our with profits plans for 2019, after delivering a return of 12% on the assets we hold for with profits policyholders. This return is before we have taken off investment expenses, tax and any policy charges. Over the past 10 years, assets invested for customers in Legal & General’s With Profits Fund have delivered a return of 8% per annum before tax. Past performance is not a guide to future performance.

Important information

The value of investments may fall as well as rise and investors may get back less than they invested.