Most of us planning for our retirement would agree that we are going to have to watch the pennies as our pensions are squeezed and our savings are likely to bring in a pitiful interest rate. It therefore pays to have a really good look at the value which our pensions and insurance policies will bring us when converted into annuities.
Some companies offer an enhanced annuity rate which can sometimes be paid out to people with health problems. Annuities are generally calculated on how long we are expected to live, so if there are factors which may affect our life span, then this could be taken into account.
Factors can include your lifestyle – if you eat, smoke or drink more than is good for you then the only benefit it could have is that it may qualify you for an enhanced annuity, although you will not be able to enjoy it for as long.
Hereditary conditions might also increase your annuity, as can diseases such as cancer and Diabetes. Of course, we would not wish these conditions on anyone, but if your life could be curtailed by one of these factors then it is only right and proper that you should be able to receive a higher revenue from it.
You really have to look at the available annuity schemes and compare them to see which offers the best return. An enhanced annuity may be an option for you but it is best to talk all financial matters over with a qualified professional before making any decisions.
