People suffering two or more milder medical or lifestyle conditions such as high blood pressure, being overweight, high cholesterol, smoking cigars and smoking less than 10 cigarettes each day may now be eligible for either the provider’s conventional or with-profits enhanced annuity.
LV= head of annuities Matt Trott says the move should encourage more people to apply for enhanced products which offer up to 7.5 per cent more income than a standard annuity.
He said: “We hope the improvements to our enhanced annuity will encourage more people to apply and potentially receive a higher income in retirement. Many conditions that people may think are trivial and will not enable them to qualify for an improved annuity, such as high blood pressure, may in fact open the door to enhanced annuity terms. It is therefore even more important that customers are open and honest about their health and medical conditions with their financial adviser. Even relatively minor conditions could increase the income they receive in retirement for the rest of their life.”