Hi folks, Question 1 : Could someone please explain what is the value of the policy seen by the policyholders in a UWP contract? 1. Premium plus Smoothed investment income less charges Or 2. Premium plus bonuses declared till date less charges. Question 2 : Does the investment profit includes both profit on unitised fund and non unitised fund? And how is it distributed among Ph and Sh? Thanks in advance.
Hi Jishnu Policyholders of a UWP contract will normally see the unit account credited by bonuses as opposed to the underlying investment return. Therefore 2. in your question 1. Regarding your question 2, sorry I am not 100% sure I understand the question. When you say unitised and non-unitised fund are you referring to UWP vs non unitised AWP which are two different contracts? Or are you referring to the concept of the unit fund and the non-unit fund, if so what do you mean by 'investment profit', are you referring to what policyholders receive? If you could clarify I will try and help. Thanks Em
