A pension annuity is used to convert capital within a pension plan
into a regular guaranteed lifetime income. As you do not have to buy
your pension annuity from the same insurance company that manages your pension,
it makes sense to "shop around" and obtain the best pension annuity available.
All pension annuity quotes are enhanced
Use our free service to "shop around" for you
Qualified pension annuity specialists
Our pension annuity service
Our pension annuity service is free and is designed to do the "shopping around"
for you. We research all the leading annuity providers and enhance the rates
by discounting our commission to provide you with the very best pension annuity.
Our pension annuity service is also available for impaired life annuity, with
profit annuity, income drawdown, and smoker annuity rates. Request a
quote and application pack.
Pension plans to convert to an annuity
Under current legislation you must convert your pension plans into a pension
annuity before the age of 75. Pension plans include: personal pensions, stakeholder
pensions, group personal pensions, executive pension plans, retirement annuity contracts,
(pensions sold prior to July 1988), additional voluntary contribution schemes (AVC),
free standing additional voluntary contribution (FSAVC) schemes, section 32 buyout bonds
and employers pension schemes known as money purchase schemes. Please note our pension
annuity service is not available if you have a final salary pension scheme.
All savings from these pension plans can be used, and this is known as using
your open market option
to obtain a higher annuity rate. A detailed explanation of the different types of pension
plans can be found in our glossary of terms.
Flexibility and choice
With most types of pension you are free to choose the type of pension annuity
that suits you best. After taking any tax free cash that is available you can
choose to have your income paid to you monthly, or annually, level or increasing,
with or without any guarantee period and on a single or joint life basis.
If appropriate you can choose to split your capital to provide a mixture of level
and increasing annuity income. Further details of these options can be found in our
The FSA guide to annuities and income drawdown also contains useful information about
the different types of pension and annuity options available at retirement. You can
download this free guide from our document centre.
Protected rights annuity
This is a pension annuity that is purchased with money from an appropriate personal
pension plan that has been used to contract out of SERPS or the state second tier pension, SP2.
Known as protected rights, the government dictates how and when you take the benefits,
and you have little choice on how this annuity is set up. You are still free to "shop around"
and obtain the best pension annuity available.
Purchased life annuity
Information on the benefits and tax treatment of purchased life annuities and immediate
care annuities can be found in our glossary of terms.
At retirement benefits are normally taken in the form of a one off tax-free cash payment
with the balance of the capital used to purchase a pension annuity to provide a guaranteed
income for the rest of your life.
Phased retirement and
plans allow you to structure your retirement income in a different way. These pension plans can provide
favourable income tax and inheritance tax
benefits and provide the opportunity to defer purchasing a pension annuity but still provide an income.
A with profit annuity offers a slightly different
alternative to both a traditional pension annuity and income drawdown plans.
You should also review our impaired life annuity page to check if you
qualify for an impaired or enhanced pension annuity.
To request a quote
Complete our online pension annuity quote form
or call one of our specialist annuity advisers to request your free pension annuity quote.
As an internet based firm of independent financial advisers
we provide advice over the telephone, via email and through the post. Dealing with you in this way
allows us to discount our commission to provide you with the very best pension annuity. We aim to
provide all traditional pension annuity quotes within 24 hours. Impaired life and enhanced pension
annuity quotes are normally provided within 48 hours.
Help & advice
There are many different options to consider when choosing a pension annuity and it makes sense
to take advice from a qualified pension annuity specialist who is independent and can offer you
products and services from the whole of the market place. Please call one of our
independent advisers or
to discuss the different options available to you and to request a quote for your pension annuity.