Pension Annuity

The options you choose when you take out your Pension Annuity will affect the amount of pension income you'll get. Generally, the more options you add, the lower your income in retirement will be. You can get a personal illustration, which shows the difference the various options would make to your pension income.

What are the options?

• Level income. You'll receive an income, which will be paid at the same level for the rest of your life.
• Escalating income. Your pension will increase by a fixed percentage each year for the rest of your life.
• Inflation-proof income. Your pension will increase in line with inflation (as measured by the Retail Prices Index) each year for the rest of your life.
• Dependant's pension. You can choose a dependant to continue to receive an income after you die and also choose whether this is paid at the same level as your pension income or lower.
• Guaranteed period. You can choose to add a guarantee for up to 10 years. If you die during this period, your income will continue to be paid to your estate until the end of the guaranteed period.
• Payment options. Your income can be paid monthly, quarterly, half-yearly or yearly, either:
  • In advance. This means that payment of your pension income will be from the start date.
  • In arrears. This means that payment will be one month, quarter, half-year or year after the start date, depending on your chosen payment frequency.
  • Or by chosen start date. If you decide to be paid monthly, you can choose to have your pension income paid on a certain date each month - the first payment must be within one month of the start date of the plan.

How to apply

If you think that our Pension Annuity is right for you, find out more about how to apply. If you need help deciding which annuity or options are most suitable for you, you should talk to a financial adviser. If you don't already have an adviser, you can find one in your area at www.unbiased.co.uk

Want more help?

Our team of expert advisers will be happy to give you a personal illustration with different options so that you can see the difference they make to your pension income. We can only advise on our own products. If you'd like information on other providers' products, you should speak to a financial adviser.

Talk to one of our advisers on 0800 068 3038*

*Lines are open Monday to Friday 8.00am - 9.00pm, Saturday 9.00am-5.00pm. Calls may be recorded and/or monitored.

WC01027 01/2012