A Pension Annuity | Buying

: Offers higher income if you have certain medical conditions or lifestyle factors (e.g., smoking) that may shorten life expectancy.

: Pays an income for a specific number of years rather than for life. buying a pension annuity

: You pay a lump sum from your "defined contribution" pension to an insurance company. : Offers higher income if you have certain

: Continues to pay a portion of the income to a partner or beneficiary after your death. buying a pension annuity

: In return, the insurer provides regular payments that act like a salary during retirement.

Current annuity rates (which recently reached an 18-year high due to rising gilt yields). Your age and health status. Common Types of Annuities