We’ve brought back the surrender feature
Following our recent survey where we asked for your views relating to retirement income, we’re starting to implement a number of improvements to the features and benefits of our Annuity products.
We’re really pleased to tell you that as of 6th April 2018 we’ve re-introduced the surrender feature on our fixed term annuities.
What is a surrender feature?
If your client chooses a guaranteed minimum payment period for the full term of the plan they will now have the option to cash in or transfer the value of their plan at any time throughout the term.
The cash in or transfer value is calculated by giving a value to the future income payments and/or maturity value and deducting our administration and dealing costs. This value will be affected by the underlying assets and interest rates at the time which will go up and down.
It’s important to note that the cash in or transfer value will always be less than the remaining payments and/or maturity value due over the term of the plan. The earlier in your clients plan term they choose to do this, the lower the value is likely to be.
At Legal & General we believe that annuities still have an important role to play as part of a client's retirement portfolio. And we’ll be bringing a number of enhancements and new product solutions to you over the coming months.
If you would like more information, please contact us on firstname.lastname@example.org.