Smokers rates for annuities are a form of enhanced annuities but designed specifically for smokers. By choosing this kind of annuity you should receive higher rates as you will more than likely have a shorter life expectancy.
If you have been a heavy smoker for over the last decade (more than 10 a day) pension providers will enhance the rates on offer. These can be up to one third more than a standard annuity rate. These enhanced rates will be higher, the older you are – the maximum enhancement will be around 30-40% higher to those who are aged 70 or older (known as annuity escalation).
To be entitled to the enhanced rates on offer, a number of factors will be considered including those relating to lifestyle and general health. Despite being healthy at the time of retirement, lifestyle factors will impact on your life expectancy, thus making your entitled to higher annuity rates. Please note than annuitants that smoke pipes and cigars will not be entitled to enhanced rates.
However even if you give up smoking after taking out the annuity product, you will still only be entitled to the income at the same rate as when you signed the contract. Also, if you smoke and also have minor medical conditions, your entitlement can be even higher. For the best online smoker annuity quote, complete our enquiry form now.
