Can AWP products also be written on either a 90/10 (no explicit charging structure) or 0/100 (explicit charging structure) basis? And if so, I'm assuming that (ch20) section 4's asset share calculation methods also apply to AWP. In the case of a mutual, am I right in saying that the matter of 90/10 or 0/100 doesn't apply because there are no shareholders to whom transfers can accrue? Or does it apply and the "shareholder surplus" just accrues to the estate?
Yes. Although UWP is the most common form of AWP, in principle non-unitised AWP products can be either 90/10 or 0/100. Broadly, yes can assume this doesn't apply and that all surplus arising belongs to the (100% policyholder owned) WP fund. Best wishes Lynn
