Research has shown that people living in affluent areas may be missing out on significant retirement income.
The prices for conventional annuities, which do not take into account any existing health problems, are often decided by the individual’s postcode. Therefore, people living in more prosperous locations are considered to be in better health, and are therefore given lower annuity rates.
However, by declaring medical conditions, such as diabetes, such individuals could qualify for an enhanced or impaired life annuity, which provides higher incomes due to the shorter life expectancy.
With diabetes being the most under-reported medical condition, sufferers of the condition in more wealthy areas could be getting up to 19 percent less from their pension, while those in less affluent areas could gain nine percent.
Therefore, anyone looking for an annuity should seek professional advice and declare all their medical or lifestyle conditions to ensure they receive the best income.
For a no obligation first meeting at our expense, to find out how McPhersons Financial Solutions in Hastings, Bexhill and East Sussex can help you, please contact us.