What are the options?

Our Pension Annuity has been developed with options and death benefits that can be tailored to your clients' needs to help you build unique retirement income solutions.

Please note, terms and conditions apply to each option. For further information please see the PDF file: Pension Annuity Terms and Conditions S430 PDF size: 122KB  

The options available to your clients are:


If your client has a qualifying medical or lifestyle condition, our fully underwritten annuity means that they could receive an enhanced level of income throughout their retirement.

Income options

  • Fixed income - the same amount each year for the rest of your client's life.
  • Increasing income - income will increase by a fixed percentage each year up to 10%, chosen at outset.
  • Inflation proof - income will increase in line with the Retail Prices Index (RPI) each year.


Monthly, quarterly, every six months or every year, either:

  • In advance - at the start of the payment period; or
  • In arrears - at the end of the payment period.

Final (partial) income instalment

Widely referred to as 'with proportion', this option is available for 'in arrears' payments and provides a final amount for the period between the last income payment and the day your client actually dies. 

Dependant's pension

Your client's spouse, registered civil partner or financially dependant partner continue to receive some of the pension income (up to 100%), if your client dies. 

Guaranteed minimum payment period

If your client selects this option and dies during the chosen period, their annuity will continue to be paid to their estate for the rest of the guaranteed minimum payment period. 

Terms of up to 30 years from the date the annuity starts can be chosen, with a maximum age at the end of the period of 100. This means that if your client is above age 70, the longest period will need to be lower than 30 years.


If a guaranteed minimum payment period and dependant's pension are selected your client can choose when the dependant's pension starts.

This can be when your client dies (known as 'with overlap') or when the guaranteed minimum payment period ends (known as 'without overlap').

Value Protection

This option allows your client to protect all or part of the amount used to buy their pension annuity. Clients can select this option alongside a dependant’s pension but it cannot be used together with a guaranteed minimum payment period.

Each option has a cost which is considered when we calculate the starting income. There are no further costs or charges once the annuity is in payment.