Zurich Life UK will offer Legal & General (L&G) annuity products alongside its own in bid to improve its at retirement offering.
The L&G link-up replaces a previous agreement with Prudential, offering better rates and a broader choice including postcode and enhanced annuities, says Zurich.
The life company is also revamping its wake-up packs to highlight to customers the importance of financial advice and the Open Market Option (OMO).
"For most of our pension customers we recognise getting independent financial advice will usually be the best option, helping them with exercising their OMO, yet in our experience some of our customers choose not to use this option," says Dave Lowe, Zurich UK Life pension management director.
"For those that don't, our agreement with L&G will allow us to offer greater choice."
Zurich will compare its own rates with an L&G rate before issuing quotes to customers of the best rate of the two.
It says the move will allow customers with smaller funds, who may not be able to access OMO, more options at retirement.
"This is a hugely important relationship for L&G's individual annuity business," says Simon Gadd, managing director for L&G annuities.
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