What exactly is a Life Annuity?
A Life Annuity is a policy that pays a guaranteed income until you die. It is particularly suitable if you have no other material source of income or capital.
How flexible is a Life Annuity?
The Liberty Investments Annuity has been designed to give maximum possible flexibility and options.
For example:
- It can be set up for a single life or for joint lives - the payment of income can be dependent on:
- One life only or
- Both on the lives of the husband and wife
- The income only ends when the last surviving life dies
- The income can also reduce after death, depending on options selected to make a more affordable product
- There is a choice of how the income changes every year – it can be level, escalating yearly at a fixed rate or linked to inflation
- You can select guarantee periods to suit your specific requirements:
- Choose a period of between one and 20 years, and
- If you die before the end of the selected guarantee period, the income will continue to be paid for the remaining period (either to the beneficiaries or the surviving spouse)
A Life Annuity will suit most retirees but there are circumstances where a Living Annuity may be more appropriate. Please talk to your Liberty Financial Adviser to assist you in selecting the most suitable option.