The insurer has announced a higher than expected payout ratio for 2017-20, thanks to its comfortable cash position. It has revised up the remitted cash from subsidiaries from £7bn to £8bn over the 2016-18 period. We have revisited our model by increasing the dividend for 2017-19. According to our updated calculation, the total shareholders’ remuneration for this period would reach £2.7bn. Our opinion remains positive with a Buy recommendation.