Why should I take out an Annuity?

A Lifetime Annuity is fixed, secure, and provides a steady income for the rest of your life.

• There is no investment risk or ongoing charges to worry about in your retirement.

• The level of income you get is determined by what you select at the outset, for example, would you prefer a level Annuity or an Inflation Increasing Annuity?

• Do you have a spouse or dependants you would like to protect once you pass away by passing on your Annuity?

For example, Bob has £150,000, he has no dependents, and he is 60 with no health issues, living in County Durham.

He uses his full fund to purchase a level Annuity. This would provide £8,755.32*

*quote from Assureweb, provider: Canada Life, no underwriting obtained.

If he was to use his full fund and purchase an Annuity which would increase by RPI each year he could potentially receive £4,400 pa.

Do I have to use all of my pension funds to purchase an Annuity?

No, you can use some or all of your pension funds.

Can I change my Annuity once it is set up?

No, you cannot change the terms of your Annuity.

I have health issues - will this affect my Annuity rate?

Yes, if you have health issues your Annuity rate will be higher than someone who does not have health issues.

Why should I seek advice when setting an Annuity up?

An adviser can help you determine the most suitable terms for your Annuity so you can be sure once you set it up you can relax and enjoy your retirement without worrying about whether you have included the most important features.

An adviser can search the Open Market for you and look beyond you existing pension provider to ensure you get the best Annuity rates and terms.