Enhanced annuities

Not all annuities are the same. The annuity you’re offered by your original pension provider may or may not provide the benefits you really need. It may not even offer the best rate.

It would benefit most people to take the Open Market Option and shop around for their annuity. Just the difference between the worst and the best basic rates available can be huge

However, the basic rate isn’t the only consideration. Depending on your lifestyle and the state of your health, we estimate that an LV= enhanced annuity could increase your retirement income by as much as 40%.

For once, not being in the peak of physical fitness could actually be an advantage. Before choosing your annuity it’s a good idea to talk things through with an LV= annuities expert first.

*You could in some cases significantly increase your retirement income.

LV= Enhanced Annuities have been designed to offer personalised annuity rates based on your individual lifestyle and medical history.

That’s because someone who has a history of medical problems, or is a heavy smoker, is more likely to have a lower life expectancy. This means that we and other providers can offer them higher levels of income.

Even if you think you’re in good health talk to an LV= annuities adviser before you commit yourself to any annuity offer. They will talk you through the conditions which qualify for an Enhanced Annuity.

It’s impossible to say with certainty what we'll cover as it depends on the stage and severity of the condition. LV= offers a market leading range of enhanced annuities including with profit investment options and a wide variety of benefit choices.

So many conditions may qualify for a higher income that it is impossible to state them all here. However the following list identifies the most common conditions where a higher income may be paid. If in doubt ask one of our expert advisers.

Angina
Aortic aneurism
Atrial fibrillation
Cancer
Cardiomyopathy
Crohn’s disease
Chronic congestive heart failure
Chronic kidney failure
Chronic lung disease
Diabetes
Epilepsy
Heart attack
Heart bypass and angioplasty
Heart valve disorders
High blood pressure (on treatment)*
High cholesterol (on treatment) *
Multiple sclerosis
Obesity*
Parkinson’s
Peripheral vascular disease
Rheumatoid arthritis
Smoking
Stroke
Ulcerative colitis

*These conditions are only likely to qualify for enhanced rates in conjunction with other medical conditions. In some circumstances increases to rates could be 100% or more so it’s very important that you tell us about all aspects of your health. Annuity rates are based on your accurate and honest answers. We’ll need evidence to support them (from your GP for example). If they can’t be supported we have the right within six months to tell you that we’ll reduce your annuity.

Enhanced terms not available:

Anaemia
Barrett’s oesophagus
Basal cell carcinoma
Deep vein thrombosis
Depression
Gall stones
Glaucoma
Heart block
Hernia
Meniere’s disease
Myalgic encephalomyelitis (ME)
Osteoarthritis
Osteoporosis
Pacemaker
Pneumonia
Spondylosis

Your LV= annuities adviser will help you think of things that you might have thought were insignificant and make sure your answers will enable us to make a fair assessment.

When your pension provider offers you a quote for an annuity, look at it closely.

Look at whether they are offering a single or joint-life annuity - and whether it’s level or escalating.

Make sure you ask if they offer an Enhanced Annuity, then discuss it all with your LV= annuities adviser.

First talk to an LV= annuities adviser.

They will talk you through the process and ask you questions designed to get detailed information about you, your personal circumstances, and particularly your health.

This will help them to identify your needs so they can discuss your retirement options with you, and whether you are likely to qualify for an enhanced annuity.

This will help them to identify your needs so they can discuss your retirement options with you, and whether you are likely to qualify for an enhanced annuity.

If you agree they will approach your existing pension provider – or providers if you have more than one – for information about your current arrangements.

This information will include things like the fund value and transfer value of your schemes, whether there are any penalties for taking benefits, what retirement options your current pension provider will offer you – and whether they include enhancement.

If you decide an LV= annuity is right for you, where appropriate the adviser will ask for the relevant discharge forms to allow the funds to be transferred to another insurance company.

Your LV= annuity adviser will do everything, talk you through the forms, make all the calls, and complete all the paperwork. You will have a dedicated contact you can call any time you have a question, but you can leave the rest to us.