MSE News: How ill-health can boost retirement income with enhanced annuity

Linton

Wolvestilidie wrote: »

Hi,

I'm after some help with this article if possible as I don't fully understand it.

Could anybody tell me if I would be entitled to an enhanced pension due to a medical condition in a private company final salaried pension scheme?

If so, are there rough percentage figures that are applied?

Any info would be appreciated.

Thanks for your help in advance

Any special provision in your scheme should be described in the paperwork, or consult your pension department. If you had a seriously impaired life expectancy it may be worthwhile foregoing a final salary pension and buying an enhanced annuity instead. Whether to go down that route would require professional advice and depend very much on the details of your circumstances.

Spirit_2

Some years ago after a cardiac bypass, I was relatively young and having some trouble renewing life insurance and my cover linked to mortgage expired a couple of months after surgery.

The advisor informed me "you are quite lucky though as it is going to be very good for your pension. You could get an impaired life annuity".

There was no irony intended on his part.