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Market Value Reductions

What is an MVR?

An MVR is a Market Value Reduction (MVR). It may also be called a Market Value Adjustment (MVA) or Surrender Value Reduction (SVR).

Put simply this will reduce the surrender value of your policy to reflect exceptionally poor investment conditions. The purpose of the MVR is to ensure that both members that keep their policies and members that surrender their policies are treated fairly.  This only impacts members who are surrendering their policies whilst the MVR is applicable. If you are considering surrendering your policy, please contact our Member Services team on 01689 891454 to discuss your options.

Why has it been applied?

MVRs have been applied to certain policies since July 2022 as a consequence of the significant downturn in financial markets experienced in 2022 and the continued economic volatility, high inflation and increases in interest rates experienced in 2023.

The MVRs are reviewed at each calendar quarter end to reflect the impact of investment performance, expenses and other changes during that quarter.

Visit the With-Profits Fund page for more information on the With-Profit Fund performance.