Annuity Rates – it pays to compare all annuity rates
There are many pension fund managers on the market, each of them offering different annuity rates. Your annuity rate fixes the level of pensions income you derive from the pensions savings you have built up over your working life, and the annuity rate you accept is a once-off choice that is not reversible. You cannot go back to your annuity provider and ask for a better deal, later on!
This is why it is crucial to compare annuity rates, and research and evaluate the best annuity rates, before you make what is likely to be the most important purchase of your later life.
Many pension savers, as they come to their retirement, believe that they should accept the annuity rates offered to them by their pension provider, i.e. the company that has managed their pension savings. Some actually believe that accepting the annuity rates on offer from their existing provider is an obligation.
Nothing could be further from the truth. In fact, the opposite is the case. The law dictates that you, the pensions saver, have a guaranteed right to seek out the best annuity rates, by taking pension advice from a qualified adviser to complete a pension annuity comparison. This pension annuity comparison can and indeed should look at the whole market to find the best annuity rates. This is why your right in this regard is known as your ‘open market option’ or OMO.
Of course, your existing pension provider will be offering you only their own annuity rates. To access the whole market by using your OMO, only an independent financial adviser can help.
Are you retiring soon? Let Principle First compare annuity rates available now, to show you the best annuity rates! Contact us online for a pension annuity quote or ring 0800 678 5929 today.
A single search by an independent financial adviser will flag up the best annuity rates, and can literally add thousands of pounds to your annual income in retirement.
Special annuity rates are there for you
Your independent financial adviser will also include in his annuities advice information about some types of annuity that pay better annuity rates, depending on your individual situation.
Enhanced annuities are based on more generous annuity rates than normal annuities, and are aimed at those whose lifestyle or medical history would suggest that their life expectancy may be lower than other people of the same age. Enhanced annuity rates may be available to smokers, those with high blood pressure, high cholesterol, or those who are obese. Annuity rates for enhanced annuities are usually based on a points system, rather than medical information.
Impaired life annuities offer special annuity rates to those with more serious medical conditions, whose life expectancy is likely to be very short after retirement. Impaired life annuities are calculated based on a medical examination, and a detailed investigation of the annuitant’s medical history.
