Your Health and Your Annuity

For those of pensionable age wishing to withdraw their pension, they must first take out an annuity. But before an annuity is taken out, men and women must first make sure they are aware of all the annuity options available. With a range of annuity options to suit varied personal and health circumstances, choosing the right annuity could make all the difference.

The biggest factor annuity providers will discuss is the individual’s health. For those with any one of the 1500 lifestyle, health and medical conditions which qualify them for Enhanced or Impaired annuity, it could make a substantial difference to hw the pension is released. Being prepared to be open and honest about their health would allow the individual to be offered the most suitable annuity type and rate.

Many believe they automatically would not qualify for Enhanced or Impaired annuity, but there are around 1,500 different health and medical conditions which are taken into account. For Enhanced annuity, the common factor which would make a person qualify includes specific lifestyle conditions, such as those who smoke, drink heavily or are obese. Impaired annuity is suited to those with life-shortening or threatening medical conditions such as heart disease and cancer.

Both of these annuity schemes are based on the belief that the individual is likely to have a reduced lifespan, and so a higher amount of the pension is released over a shorter period of time. This means that should the individual live with lifestyle or medical conditions which make them qualify for Enhanced or Impaired annuity, they could get a significantly higher pension release than with a standard annuity.

Some other of the most common lifestyle and medical conditions which qualify those for
Enhanced or Impaired annuity include chronic asthma, diabetes, high blood pressure,
multiple sclerosis and dementia, so it is worth being open and honest with any annuity
provider to be offered to best annuity type and rate.