Using the Open Market Option is the key to getting the best rate from your pension pot and, as has been mentioned many times before on this blog, its always worthwhile finding out whether you qualify for enhanced rates. Obtaining quotes from Aviva, Standard life, Axa, Prudential and other large annuity providers may be your first course of action, but many of these companies do not offer enhanced rates, as has been recently reported in the Financial Times .
Therefore when looking at the Open Market Option make sure that you use an Independent Financial Adviser who has access to the entire market. Enhanced rates are offered by many providers you may not have heard of, such as Just Retirement, Partnership and MGM Advantage. These companies are not ones which you may instantly recognise but they specialise in retirement products, specifically enhanced annuities. As buying an annuity is often a once-in-a-lifetime event, you wouldn’t be expected to know which companies offer which products. It is therefore extremely helpful to take advice in these instances to ensure you have all the options available to you. Of course your own due diligence is recommended, so you also feel confident with the company who is ultimately going to provide you with an income for the rest of your life.
Always use an Independent Retirement Specialist when you are looking for the best annuity rate.
