subject: Open Market Option: Do Not Miss Out Higher Retirement Income [print this page] Every year, more and more people in UK are retiring. For most of this people, this is the time that theyve been waiting for in years. Theyre excited to finally stop working and do the things that bring pleasure to them like maybe playing golf, seeing the other parts of the globe or just lying around the whole day without thinking of waking up early to go to work.
However, its a shame that a huge percentage of them are not exercising their right to Open Market Option. A lot of them would receive letters from their pension provider and without giving it much thought, theyll buy annuity from the same provider. Although this is pretty convenient (annuitants can simply sign a form and send it back to their current provider) this isnt the best way to go if theyre hoping to get better rates and increased annual income.
Retirees are encouraged by the UK government to excercise their rights to Open Market Option. Meaning, theyre encouraged to shop around and look for providers that can offer them with the highest interest rates possible while taking consideration their health status, the size of their funds, their age, and their location. Instead of getting the default rate from their current provider, they can go ahead and carefully study different annuities that are available to them.
You should also consider enhanced annuities. They offer as much as 40% more money to people who qualify. This is being offered to retirees with specific medical condition that can directly affect the quality of their lives or their life span.
Getting acquainted with all types of pension annuities can be very confusing for older people. This is the reason why specialists always recommend hiring an independent financial advisor who specializes in annuity. This person should be able to address all retirees concerns and can provide easy explanations to help these people to fully understand what theyre about to sign up for.
Aside from financial advisors, there are also independent business owners who are offering free quotes. Most of them have made the process a lot easier. All you need to do is to visit their website and provide the needed information so they can determine the best annuity available to you. Theyll send you a free quote and narrow down your choices so youll be able to pick the best annuity provider easily.
