Enhanced Annuities

Knowing whether you are eligible for enhanced annuities is a pretty straightforward process.  If you complete the form on the right, we will be able to assess your circumstances to see if you are eligible for higher rates. If you regularly consume alcohol or smoke tobacco, take prescription medicine or have been in hospital for any length of time then there is a strong chance you could qualify for enhanced rates. This means you could increase your retirement income by as much as 45%.

It is also worth remembering that it is not only those who smoke or have serious health conditions that qualify for enhanced annuities.  In fact there are over 5,000 different medical conditions that allow you to qualify for these higher rates.

Once they reach retirement age the vast majority of retirees convert their pension fund into an annuity. An annuity pays a regular income for the rest of your life, allowing you to enjoy retirement with a secure and dependable income. You can take 25% of your total fund as a tax-free lump sum when you purchase an annuity. If you have a medical condition or lifestyle which means you have a lower then average life-expectancy, you are likely to then qualify for an enhanced annuity. This will mean your monthly payments will be higher.

What information do I need to supply?

If you do apply for an enhanced or impaired life annuity it is likely that your annuity provider will ask for a General Practitioners Report (GPR) – a medical report from your local GP. This is so that they can check that what you said on your application form is correct and accurate. These are commonplace for those seeking life insurance as it helps determine the level of premium that the policy holder should pay.

Postcodes and enhanced annuities

As well as health and lifestyle factors, where you live can also impact on whether you qualify for enhanced annuities. People who live in more deprived areas of the UK with a lower life expectancy benefit from higher rates. This is because on average, they are likely survive fewer years in retirement compared to someone who lives in a more prosperous area of the UK, such as the home counties.