Some 100,000 Irish people who hold with-profits policies with Standard Life will be in line for a financial windfall if the insurer decides to seek a stock market listing.

The mutually owned company yesterday flagged such a move as one of a number of options it will consider as part of a strategic review of the business. Its incoming chief executive, Mr Sandy Crombie, declined to say whether demutualisation and an eventual listing was the company's preferred option but said that a preliminary decision is expected to be announced by the annual general meeting in April.

It is too late to take out a Standard Life with-profits policy to benefit from any flotation as new policyholders must agree to waive any windfall entitlements when they sign for the policy.

Analysts have suggested that Standard Life could raise between £3 and £4 billion (€4 and €6 billion) through a flotation. When asked how much policyholders could expect to be paid, Mr Crombie said "I haven't a clue".

There had been widescale speculation that the insurer would seek a listing in 2000 when the company was valued at £16 billion. At that time, policyholders would have expected to reap windfalls of up to £10,000. The company's value has more than halved since then largely due to its exposure to difficult equity markets so the potential benefit to members has been radically reduced.

Mr Crombie, who replaces Mr Iain Lumsden as chief executive, said that Standard's mutual status, meant that it was particularly hard hit by the tough solvency requirements.  - (Additional reporting by Reuters)