THE Bank of Scotland Annuity Service has estimated four out of ten people who are about to retire could be eligible to receive a bigger pension by considering an impaired life or enhanced rate annuity.
The group said that, while those in good health can qualify for a conventional annuity, providers use standard rates to estimate how much pension income they will offer an individual in retirement based on average life expectancy. It added that an impaired life annuity could pay up to 30% more than a conventional product, and that those eligible could include people who suffer from illnesses such as diabetes, heart disease, cancer or high blood pressure. Kevin Pacey, head of Bank of Scotland Annuity Service, said: “Buying the right annuity is a vital part of retirement planning and c...
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