The Best Annuity Rate – How Can You Make Sure Your Get It?


You should be aware that there is no obligation to use the company that you have saved your pension with to purchase your annuity from. Many people in the past have gone down the route of using their existing pension provider and in many cases have not secured the best product or best annuity rate for their circumstances. Providers are now however coming under regulation to ensure that they make it clear to their pension customers that they are able to take their open market option and search the market to get the best annuity rate and product. Many are seeking independent financial advice to help guide them through the process and cover all their options. By reviewing all the options and rates you make sure that you maximise your income in retirement.

There are a number of factors that could make a difference to the income you receive in retirement.  Where you live (your postcode), your current health, past health conditions, your lifestyle and if you are a smoker are all factors that an annuity company will take into account when they offer you their best annuity rate.

You also need to think about the type of annuity you need, you may want to choose to have a joint annuity that will pay an income to your partner on your death or a guaranteed annuity that pays an income for a set time period even if you pass away. You may also be suitable for other retirement products such as income drawdown or an enhanced annuity.

Annuity rates are also at an all time low due to amongst other things increasing life expectancies and the economic conditions that are causing yields from government bond to reduce which have a link to annuity rates.

There are many options to consider which is why it is a good idea to seek independent financial advice.

So when you are coming up to retirement and receive the letter from your pension provider telling you that you must take your annuity remember that it is vital that you get expert annuity advice.  You only get one chance to buy your annuity and once you have done so there is not turning back and changing your mind. So  make sure that you make the right decision. Shopping around and seeing what each annuity provider can offer you really does make perfect sense.

Contact us and we can make sure that you get the best independent financial annuity advice which could increase your pension by up to 40%. Comparing the market will make sure you secure the best annuity rates.