If Vote 1 is approved, eligible members will benefit from a one-off member payment

The one-off member payment will be made to all eligible members who hold a policy at the time of the Special General Meeting (SGM) on 10 December 2021. The amount of the payment changes depending on how the transaction completes and the outcome of Vote 2.

The Board believes that as the transaction will impact all members it is appropriate, irrespective of how the transaction completes, to offer a one-off member payment to all members.

The payment would be made after the completion of all relevant legal and regulatory processes, which we anticipate would be after 1 October 2022.

There will also be a second financial benefit for members holding an eligible LV= with-profits policy called a payout enhancement.

More information about the payout enhancement

Check out the full list of member-qualifying products to find out what policies are eligible

Dependant on voting outcomes, the one-off member payment could be:

£100 - If the transaction completes by a Part VII transfer

£60 - If the transaction completes by the alternative arrangements

£0 - If the transaction does not complete

Eligibility for the one-off member payment

To qualify for the one-off member payment, members must have a policy in place at the date of the Special General Meeting (SGM) on 10 December 2021. They must have also taken out a policy or submitted an application for a new policy before 1 March 2021.
If a member has taken out a policy after 1 March 2021 they will not be eligible for the one-off member payment. This reflects our announcement in December 2020 that we had reached an agreement with Bain Capital to acquire LV=, ensuring we act in the best interest of our existing members.
The one-off member payment of £100 will only be given should Vote 1 be approved by members, however this amount could change depending on the outcome of Vote 2. More detail about this can be found above.

One-off member payment – your questions answered

Why is there a one-off member payment made to both non-profit policyholders and With-profits policyholders?

When would my client receive the one-off member payment?

How will the one-off member payment be made?

What would my client be entitled to if their policy expires or matures before the votes take place?

My client has more than one policy, will they get more than one member payment?

If my clients have a joint policy will both of them receive the one-off member payment?

If Vote 1 is passed and Vote 2 is not approved why is the one-off member payment less?

Will my client get taxed on the one-off member payment?