What we've been doing...
Planned gradual distribution of Pearl Assurance inherited estate from July 2007
Price 'per policy' agreement with Diligenta - the company helping to improve customer service - protecting Pearl against costs of regulatory change
Hedging of inflation risk inherent in Pearl Assurance's pension rectification guarantees. Q4 2004
and what it might mean
Expected distribution of £500m, equivalent to an average 5% more on claims values - or almost £600 for every Pearl with profit policyholder
Various components providing an estimated benefit of about £100m
Reduction in exposure to potential increases in costs resulting from future inflation
Source: Cazalet Consulting, July 2007